- Poland authorities do not prohibit the use of digital currency and assets as they know that it has potential benefits for the country.
- Polish Financial Supervision Authority (KNF) is seeking market feedback from the regulators and interested parties.
- Based on the feedback received by the Financial Supervision Authority, they’ll make an informed decision as to whether they should regulate cryptocurrency or not.
Poland is a former socialist country and stands at No.24 in terms of nominal GDP. In terms of digital currency, Poland’s authorities do not prohibit the use of digital currency and assets as they know that it has potential benefits for the country.
In recent times the regulators and central banks have started looking closely at digital assets and digital currency. Keeping this in mind the Poland’s Financial Supervision Authority (KNF) is seeking market feedback from the regulators and interested parties. Based on the feedback received by the Financial Supervision Authority, they’ll make an informed decision as to whether they should regulate cryptocurrency or not.
KNF’s Crypto Project and Current Scenario
At the starting of this month, the financial supervision authority of Poland launched a project called “Positions of the PFSA Concerning the issuance and dealing of crypto Assets”. The project will be continued until the end of this month.
This project was initiated with a mission to provide basic definitions and concepts regarding digital assets. The project documents also outline examples of their uses and how they could be classified under Polish law.
Two years ago the Polish authorities regulators and banks issued a statement warning the use of Bitcoin and other cryptocurrencies as they were not national or legal tender. But now things have changed drastically as they have realized its potential.
Now the Polish regulators are inviting feedback from all the financial institutions so that they can form a legal framework. The aim to provide a uniform and systematic approach to the entities digging and issuance and trading of crypto assets.
Poland’s Crypto history
Not only this but last year the Polish cryptocurrency exchange, BitMarket, suddenly closed down citing the loss of liquidity as its reason. A statement from the officials made it clear that the market crashed due to hackers. In addition, there are other cryptocurrency scams as well which have created a speculative environment regarding digital assets in the country.