A new law designed to oversee the digital asset market in Poland has been
greenlit by the nation’s legislature, introducing significant limitations
and establishing a specialized regulatory organization.
The Sejm, Poland’s lower parliamentary chamber,
approved
the Crypto-Asset Market Act on Friday, and the proposed legislation now goes
to the Senate for further review.
Bill
1424, which has yet to formally incorporate the results of the Sejm’s third
reading vote, introduces a licensing framework for providers of crypto asset
services (CASPs). The law is intended to align Poland’s regulatory
approach with the broader
Markets in Crypto-Assets Regulation (MiCA)
established by the European Union.
The bill’s approval has generated substantial reaction within the crypto
community, largely due to its strict conditions. These entail potential
criminal consequences for breaches, including financial penalties reaching
10 million Polish zlotys (approximately $2.8 million) and imprisonment of
up to two years.
Key bill provisions
The bill
names
the Komisja Nadzoru Finansowego (KNF), Poland’s financial regulatory body,
as the primary supervisor for the country’s digital asset marketplace.
According to the new rules, any CASPs – including exchanges, issuers, and
custody services, whether local or international – will be mandated to
acquire authorization from the KNF to conduct business in Poland.
To secure the required license, CASPs must provide a thorough application
detailing their organizational structure, financial standing, oversight
mechanisms, compliance protocols, risk management strategies and
Anti-Money Laundering (AML) procedures.
Thursday (translated by Google). Source: Sejm
Upon final passage and enactment, CASPs operating in Poland will have a
transition timeframe of six months to secure the necessary licensing. Failure
to comply may result in the termination of operations and subsequent legal
repercussions.
Bill would “destroy” Poland’s crypto market, critics warn
The Crypto-Asset Market Act secured 230 affirmative votes against 196
opposing votes. This has provoked considerable dissent from both crypto
industry stakeholders and certain Polish legislators.
Janusz Kowalski, a Sejm representative from the opposing Law and Justice
(PiS) party, voiced strong criticism of Poland’s implementation of the EU’s
MiCA regulation. He described it as excessively limiting, suggesting it
could severely compromise Poland’s crypto sector and jeopardize its three
million crypto users.
“This is arguably the most restrictive cryptocurrency law currently proposed
in the EU,” Kowalski
stated
on X following the bill’s progression past its second reading the previous
Wednesday.
Related:
MiCA under pressure as national regulators challenge passporting
He emphasized the law’s considerable length, describing it as “118 pages of
excessive regulatory constraints,” contrasting it with the comparatively
concise crypto legislations in nations such as Germany, the Czech Republic,
and other EU member states.
“Slowest regulator in the EU”
Tomasz Mentzen, a Polish politician and a strong advocate for blockchain
technology, drew attention to the anticipated challenges in enacting the new
crypto legislation due to Poland’s notoriously slow regulatory procedures.
“The KNF is acknowledged as the EU’s slowest regulator, averaging around 30
months to process a single application,” he
commented
on X last Wednesday.
According to Mentzen, the Sejm’s endorsement of this bill may lead to the
potential “destruction of blockchain and stablecoins” within Poland’s
financial framework.
He urgently called upon the Senate and President Karol Nawrocki to intervene
by vetoing the legislation, to secure the survival and progress of Poland’s
digital currency sector.
Poland’s president pledged to support crypto
Sławomir Mentzen, Tomasz’s brother, was among the
Polish presidential candidates
who committed to establishing a Bitcoin (
BTC) reserve if elected in 2025. In the initial round held on May 18, 2025,
he
achieved
third position with 14.8% of the electorate, following Rafał Trzaskowski and
Nawrocki.
In the runoff election on June 1, Nawrocki
secured
the presidency with 50.9% of the total vote. In the days leading up to the
election, he declared his support for digital currencies, arguing against
“repressive regulations” that limit both freedom and innovation.
“In Poland, it should be innovation, not excessive regulation, that emerges.
As President of the Republic of Poland, I pledge to safeguard against
oppressive regulations that restrict your freedoms,” Nawrocki posted on X on
May 28.
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