Ukraine has established a procedure for declaring cryptocurrencies: Bitcoin is an intangible asset

The Ukrainian National Agency for the Prevention of Corruption (NAPK) has published rules for declarationcryptocurrencies as one of the types of “intangible assets”.

Features of displaying statements about intangible assets by ForkLog on Scribd

Cryptocurrency Definition Used in This Documentborrowed from the Financial Action Task Force against Money Laundering (FATF), according to which it is a digital expression of value with the possibility of transfer, trade in digital format and use for payment or investment purposes.

According to the NACP conclusion, the declarant must indicate cryptocurrencies belonging to him or his family members in the section «Intangible assets»:

«The name of the asset must be entered in the document,the date of the last purchase of cryptocurrency by the subject of the declaration, the number and total value of cryptocurrency tokens of a certain type owned by the subject of the declaration or a member of his family as of the last day of the reporting period.

The value of the cryptocurrency should be indicated in the currency of Ukraine at the exchange rate of the National Bank of Ukraine, which was valid on the last day of the reporting period of the declaration.

In 2020, income declarations must be submitted byplace of residence until April 30. In addition to officials, self-employed specialists who are not registered as private entrepreneurs and people with income of foreign origin must submit declarations.

Despite the fact that detailed explanations about the declaration of cryptocurrencies have been given only now, digital assets have been featured in the declarations of Ukrainian officials since 2016.

So, people's deputy Dmitry Golubov at the end of 2016 declared 4,376 BTC, evaluating them at the time of writing the document at 125 million hryvnias (about $ 5 million).

In the same year, the chairman of the Odessa Regional Council Anatoly Urbansky announced that he had 4256 BTC in the amount of 111 million hryvnia (about $ 4.4 million).

The richest declarant of Ukraine in April 2017of the year became the deputy of the Odessa City Council from the party “Trust in Affairs” Dmitry Palpatin, whose fortune exceeded 3.5 billion hryvnias (more than $ 134 million) in bitcoins.

In October 2019, the governor of Odessa regionBefore his appointment, Maxim Kutsy declared 290 military-technical cooperation (about $ 2.3 million) and 11,071 Ethereum (about $ 1.9 million), and people's deputy Alexei Kucher - 77 military-technical cooperation (about $ 634 thousand).

In early December, deputies of the Verkhovna Rada of Ukraineadopted the law on the implementation of FATF standards to combat money laundering and the financing of terrorism, containing a provision on virtual assets. The document will enter into force on April 28, 2020.