Poland to Regulate Crypto in 2024, KNF Empowered to Impose Fines

<p>After several years of not officially recognizing cryptocurrencies, the Polish Financial
Supervision Authority (KNF) plans to start supervising digital assets by the
end of this year. As Finance Magnates learned, the Polish government plans to
present a bill on this matter in the second quarter of this year.</p><p>For the
local industry, this means finally setting clear legislative frameworks, and
the KNF will have the opportunity to impose financial penalties on companies in
the cryptocurrency sector.</p><p>Poland to Regulate
Cryptocurrencies. Compliance with EU Regulations</p><p>According
to reports from Polish media, the move is not proactive but rather a response
to European regulations on cryptocurrency markets that came <a href="https://www.financemagnates.com/cryptocurrency/mica-takes-off-eu-council-approves-crypto-law/" target="_blank" rel="follow">into effect in May
of last year</a>.</p><p>“The
introduction of new regulations is dictated by the need to prepare a legal
framework for the proper functioning of crypto asset markets, thereby ensuring
effective supervision and investor protection by equipping the Financial
Supervision Authority with the appropriate means,” the official comment from
the Polish government stated.</p><p>The first
steps towards regulating the cryptocurrency market <a href="https://www.financemagnates.com/cryptocurrency/regulation/polands-knf-considers-regulating-crypto-invites-market-feedback/" target="_blank" rel="follow">appeared in 2020</a>. Over the
past few years, the digital asset market in Poland has not had specific legal
frameworks; only its tax status has been regulated. In the meantime, <a href="https://www.financemagnates.com/cryptocurrency/regulation/polands-knf-warns-crypto-investors-risk-losing-their-money/" target="_blank" rel="follow">the KNF
repeatedly warned</a> investors about the excessive risk associated with investing
in digital assets.</p><p>What
changes can Polish crypto enthusiasts and local cryptocurrency companies
expect? The proposed regulations suggest as many as seven significant changes.</p><blockquote><p lang="en" dir="ltr">Here’s the list of countries which lead crypto regulation