Ukraine plans first-of-its-kind Bitcoin reserves with reported support from Binance

Ukraine is reportedly preparing legislation to become one of the first nations to officially hold Bitcoin in its national reserves.

According to Ukrainian media outlet Incrypted, Member of Parliament Yaroslav Zhelezniak confirmed that a draft law is being developed to support the initiative.

Zhelezniak, who also serves as the First Deputy Chairman of the Committee on Finance, Tax, and Customs Policy, revealed plans to submit the bill soon. However, the final language is still under review.

Ukraine’s interest in holding Bitcoin comes as the country adopts digital assets more broadly. A 2024 Chainalysis report ranks the country among the top 10 for global crypto adoption. Similarly, data from Bitcoin treasuries shows that public officials in the country collectively hold 46,351 BTC, which is worth around $5 billion.

These numbers are unsurprising considering Ukraine has received millions of dollars in crypto donations since the start of the conflict with Russia.

Besides that, the government has also taken steps to formalize the legal status of cryptocurrencies within its jurisdiction, marking a key milestone in its regulatory approach.

In addition, the country is considering a new tax framework for crypto. Officials are evaluating a tax rate of 5% to 10% on digital assets, aiming to regulate the market and support the national budget, particularly military and emergency expenditures.

Binance’s role in Ukraine’s Bitcoin reserve plan

According to the report, Binance, the world’s largest crypto exchange by volume, is advising Ukraine on its efforts to create a Bitcoin reserve.

Kirill Khomyakov, the firm’s regional head for Central and Eastern Europe, reportedly said Binance supports the initiative to create a sovereign digital reserve.

Khomyakov emphasized that significant legislative updates will be needed before the reserve becomes a reality. However, he also noted that the process could help clarify Ukraine’s stance on crypto regulation, as it would require the government to define its policy more precisely.

Binance has yet to respond to CryptoSlate’s request for additional commentary.

Beyond Ukraine, Binance has engaged in similar conversations with countries like Kyrgyzstan, where it is also pushing for the adoption of crypto payments and promotion of digital finance education across the region.

This approach confirms Binance’s growing involvement with governments worldwide. The exchange’s CEO, Richard Teng, recently stated that several nations have consulted the company on building crypto reserves and developing regulatory frameworks.

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