The
cryptocurrency market in Poland is set to face increased oversight as the
government moves to implement the European Union’s Markets in Crypto-Assets
(MiCA) regulation into domestic legislation. The draft law, which aims to
regulate and supervise the issuance, trading, and provision of cryptocurrency services, will grant the Komisja Nadzoru Finansowego (KNF) new
powers, including the ability to block crypto accounts.
Under the
proposed legislation, the FSC will have the authority to independently block
the accounts of cryptocurrency holders for 96 hours (4 days) if there is suspicion that a transaction may be linked to the commission of a crime. With the consent of the prosecutor’s office, this initial blocking period can be extended for up to six months.
“In
the event of a suspicion that a transaction may be linked to the commission of
a crime, the FSC will be able to independently block the accounts of
cryptocurrency holders,” Izabela Deryło, a tax expert associated with the
Warsaw office of law firm Wolf Theiss, explained the implications of this new
power to Business Insider.
The
announcement of these new measures has caused concern among cryptocurrency
investors in Poland, as the rationale for account blockades remains unclear.
Experts point out that the lack of clarity surrounding the grounds for blocking
accounts could lead to uncertainty and potential misuse of this power.
“This is another regulation that is causing considerable controversy, following an attempt a few years ago to push through very unfavorable rules for taxing cryptocurrencies,” Arkadiusz Jóźwiak, a cryptocurrency trader, analyst, and Editor-in-Chief of the financial portal Comparic, tells Finance Magnates. “Given the aversion that the KNF has shown towards cryptocurrencies so far, the ability to preemptively block accounts based on mere suspicions may, unfortunately, be excessively used and abused.”
Recently, the KNF awarded a Virtual Asset Service Provider license to Ouinex, a forthcoming cryptocurrency exchange
New Authority in the Hands
of the KNF by This Year
News that
Poland is moving to regulate cryptocurrencies
