Ukraine Nears Completion of Strategic Bitcoin Reserve Bill

As global interest in Bitcoin (BTC) and digital assets continues to grow, Ukraine is reportedly close to finalising legislation to establish a strategic BTC reserve.

Overview

On May 14 2025, Member of Parliament Yaroslav Zhelezniak shared the update with local media outlet Incrypted, which revealed that lawmakers are developing a proposal for a national BTC reserve, with a draft bill nearing completion. 

This initiative could make Ukraine one of the first countries in Eastern Europe to formally integrate BTC into its national financial strategy. According to local media sources and government insiders, the proposed bill is in its final stages and may soon be submitted for parliamentary approval. Zhelezniak said, “We will soon submit a draft from the industry allowing the creation of crypto reserves.”

A National Reserve for the Digital Age

The idea of a strategic BTC reserve aligns with Ukraine’s broader goal of becoming a leader in digital finance and blockchain innovation. Officials from the Ministry of Digital Transformation have hinted at the need for the country to diversify its reserves, which are traditionally held in fiat currencies and gold. BTC, viewed by many as a hedge against inflation and geopolitical risk, offers a decentralised store of value that is not tied to any single nation’s economy.

Reports suggest that the draft bill outlines mechanisms for acquiring, storing, and managing digital assets, possibly through partnerships with licensed crypto custodians. The government is also considering multi-signature wallets and cold storage solutions to ensure the reserve’s safety and integrity.

Deputy Minister of Digital Transformation, Alex Bornyakov, has previously expressed support for integrating BTC into Ukraine’s economic system, calling it a “step toward monetary innovation.” If passed, the bill would place Ukraine alongside countries like El Salvador and the Central African Republic, which have adopted BTC in some official capacity.

Timing and Motivation Behind the Move

Ukraine’s push toward BTC reserves comes during ongoing economic uncertainty, intensified by the prolonged conflict with Russia and the resulting fiscal strain. With foreign aid and international donations often arriving in cryptocurrency, particularly BTC and Ethereum (ETH), the Ukrainian government has gained firsthand experience managing digital assets.

In early 2022, Ukraine raised millions in crypto donations to support its military and humanitarian efforts. This positive interaction with crypto donations likely shaped the government’s perception of BTC as a viable financial tool. Furthermore, global trends toward de-dollarisation and the rise of central bank digital currencies (CBDCs) may influence Ukraine’s decision. 

By creating a reserve of BTC, Ukraine could position itself more independently on the international financial stage, reducing reliance on traditional reserve assets and strengthening its national currency over the long term.

Regulatory Clarity and International Implications

Clear regulatory guidelines will be critical for the reserve bill to succeed. Ukraine has made significant progress on this front. In 2022, the country passed a law regulating digital assets, which laid the foundation for crypto-related activities. The forthcoming reserve legislation is expected to expand on this, detailing how BTC will be treated as a strategic asset and setting boundaries for its use in public finance.

The bill could encourage other nations in Eastern Europe and beyond to explore similar strategies, especially those facing economic instability or seeking financial innovation. However, some caution that BTC’s volatility threatens national budgets and long-term planning.

To mitigate these concerns, the bill reportedly includes periodic reserve rebalancing provisions, financial regulators’ oversight, and transparent public reporting. These measures aim to strike a balance between innovation and fiscal responsibility.

Ukraine’s move toward creating a strategic Bitcoin reserve reflects a forward-thinking approach to national financial management. While challenges remain regarding regulation and risk management, the bill’s finalisation signals a strong commitment to integrating digital assets into the country’s economic framework. If successful, it could pave the way for a new era of monetary policy in the digital age, both for Ukraine and for other nations watching closely.