Binance once ran from the law. Now, the world’s leading crypto exchange by volume wants to help write it.
The company today announced a memorandum of understanding with the Ministry of Digital Transformation of Ukraine, which states that Binance will help Ukraine determine its position in “establishing the potential legal status of virtual assets and currencies in the country.”
Binance will help the Ukrainian government develop “transparent and effective mechanisms” for crypto sales, and “beneficial conditions for investments and business in Ukraine,” according to the memo.
The MoU sees the establishment of a working group to develop a strategy to cover hot topics de jure: blockchain, the creation of new cryptocurrencies, and the Ukrainian virtual currency market. The working group hopes to present bills to the Ukrainian parliament by the end of the year.
“By signing the Memorandum with Binance, we open Ukraine to one of the largest cryptocurrency exchanges in the world and let Binance legally start their business here,” said Mykhailo Fedorov, Minister of Digital Transformation’s Vice Prime Minister.
Binance has, in the past, been criticized for its attempts at “regulatory arbitrage”—moving its headquarters, first from China to Japan, and now stationed across Malta, Singapore, Bermuda, and more—all in pursuit of avoiding sanctions from government authorities. The Ukraine, on the other hand, appears to be welcoming Binance with open arms.
“At last, Ukraine is finally in a situation where the executive, legislative authorities and market have come to an understanding of the regulation of the Ukrainian cryptocurrency market,” Fedorov said.
Binance’s CEO, Changpeng Zhao, was also very pleased: “The legalization of cryptocurrencies and corresponding adoption of progressive legislation in this sphere can become one of the key drivers in stimulating positive growth in the Ukrainian economy as well as attract additional investments to the country,” he said in a statement.