Bahrain-based publicly listed catering company with a $24.22 million market cap has adopted a Bitcoin treasury strategy in partnership with investment firm 10X Capital.

According to a May 15 announcement, AlAbraaj Restaurants Group partnered with 10X Capital to adopt a Bitcoin (BTC) treasury strategy similar to top corporate BTC holder Strategy, previously known as MicroStrategy. The firm also aims to explore Sharia-compliant access to Bitcoin for the Islamic world.

“Our initiative to become a Bitcoin treasury company reflects our forward-looking approach and our commitment to enhancing shareholder value,” Abdullah Isa, head of AlAbraaj’s Bitcoin Treasury Committee, said.

Isa added that the company believes that “Bitcoin will play a central role in the future of finance.” He explicitly cited Strategy’s legacy as an inspiration:

“We look forward to building the ‘MicroStrategy of the Middle East’ with their support.”

Related: Strive to become Bitcoin treasury company

A photo shared by the company on X shows a meeting between a company representative and MicroStrategy chairman Michael Saylor.

Source: AlAbraaj Restaurants GroupCompany makes initial Bitcoin purchase

AlAbraaj Restaurants Group made an initial investment of 5 BTC and announced the intention to keep accumulating more. The decision is reportedly a response to the evolving financial landscape and growing institutional interest.

The firm plans to allocate a significant portion of its corporate treasury to Bitcoin, making it its primary reserve asset. It said it prides itself on being profitable, with $12.5 million of earnings before interest, taxes, depreciation and amortization reported in 2024.

The company also said it hopes to strengthen its portfolio and expand to the finance industry. As part of this initiative, it plans to develop its own Sharia-compliant financial instruments to tap the Islamic market.

Related: Blockchain is the best fintech to ensure Sharia ethics — Web3 exec

Backed by 10X Capital

The firm’s partnership with 10X Capital eases their introduction into the Bitcoin market and digital asset treasury management. The same company advised Nakamoto in its recent $710 million raise.

On May 12, healthcare services provider KindlyMD merged with Bitcoin-native holding company Nakamoto Holdings to build a BTC treasury named Nakamoto. The latter company was founded by David Bailey, a crypto adviser to US President Donald Trump.

AlAbraaj Restaurants Group also hopes to rely on 10X Capital to help it raise more capital to acquire additional Bitcoin, increasing the BTC-per-share ratio for investors. 10X Capital CEO Hans Thomas highlighted that the deal provides potential Bitcoin exposure to the entire Gulf Cooperation Council:

“The GCC has a combined GDP of over $2.2 trillion—larger than Canada, Russia, Italy, Brazil, Australia, South Korea, or Spain—and sovereign wealth exceeding $6 trillion, yet until now, lacked a public Bitcoin treasury company like MicroStrategy.“

Magazine: Rise of MicroStrategy clones, Asia dominates crypto adoption: Asia Express 2024 review

Key points:

US Treasurys and foreign capital “repatriation” make a recipe for $1 million BTC, says Arthur Hayes.

Europeans face tightening capital controls, inviting a recommendation to take back control of personal funds.

Seven-figure BTC price targets are already gaining traction.

Bitcoin (BTC) will shoot to $1 million in just three years, thanks to global macroeconomic shifts, Arthur Hayes forecasts.

In his latest blog post released on May 15, the former CEO of crypto exchange BitMEX doubled down on his sky-high BTC price prediction.

Hayes: $1 million Bitcoin due “between now and 2028”

Bitcoin has two strong tailwinds that will help propel it to seven digits in a few years.

For Hayes, shifting capital controls worldwide and US Treasury “devaluation” means that Bitcoin will become the go-to safety net for investors everywhere.

He summarized:

“Foreign capital repatriation and the devaluation of the gargantuan stock of US Treasurys will be the two catalysts that will power Bitcoin to $1 million sometime between now and 2028.”TLT US exchange-traded fund indexed in gold, Bitcoin (screenshot). Source: Arthur Hayes/Substack

While that date may appear arbitrary and demand 900% BTC price gains, Hayes argued that the financial landscape could change in an instant, depending on the next US governmental administration.

“I say 2028, because that is when the next US presidential election occurs and who knows what type of politician will win and what policies they will enact,” he said.

While the presidency of Donald Trump has enacted various pro-crypto policies, this could begin to reverse if a shift in government were to occur. In Europe, meanwhile, an increasing desire to control and even suppress crypto use by the general population signals a growing divergence.

“Not even China has banned the private ownership of Bitcoin because it knows it’s counterproductive and impossible,” Hayes wrote. 

“For you Euro-poor-peans, whose governments practice a less effective form of communism than China, don’t expect the European Central Bank (ECB) to learn this lesson without trying. Therefore, get your money out now!”Betting on a seven-figure breakout

As Cointelegraph reported, Hayes has not been shy about predicting both short-term and longer-term BTC price expansion in the years to come.

Related: Bitcoin looks ‘ridiculous’ as bulls attempt $2T market cap flip — Analyst

In April, he foresaw the return to $100,000, and before that, joined those seeing the mid-$70,000 zone as a likely local bottom.

Multimillion-dollar targets for the next decade include those of major financial players such as Fidelity Investments.

Michael Saylor, CEO of business intelligence firm Strategy, which has the world’s largest Bitcoin treasury of any public company, said this week that he envisaged a $10 trillion valuation.

“My forecast for 2045 is 13 million a Bitcoin,” he added.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

Prominent short-seller Jim Chanos, once a vocal critic of Bitcoin and cryptocurrencies, revealed a new trading play that involves shorting shares of Strategy (formerly MicroStrategy) and buying Bitcoin.

At the Sohn Investment Conference in New York, Chanos told CNBC he’s “selling MicroStrategy stock and buying Bitcoin.” The investor described the move as buying something for $1 and selling something for $2.50, referring to what he sees as a significant price mismatch.

Chanos argued that Strategy is selling the idea of buying Bitcoin (BTC) in a corporate structure, and that other companies are following suit in hopes of receiving a similar market premium.

Chanos said this was “ridiculous.” He described his trade as “a good barometer of not only just the arbitrage itself, but I think of retail speculation.”

Selling Strategy stock to buy Bitcoin

Chanos’ recent move assumes investors overpay for Bitcoin exposure through corporate wrappers like Strategy and other firms that follow its Bitcoin accumulation blueprint. The investor’s move reflects a stance that purchasing Bitcoin directly would be better than purchasing Strategy’s stocks for indirect Bitcoin exposure. 

Chanos’ move suggests that holding Bitcoin through companies reflects excessive speculation and risk mispricing. It assumes that retail investors’ idea of having Bitcoin indirectly through corporate wrappers can inflate the company’s stock valuations. 

While shorting Strategy may seem like a good idea, investors have already lost billions shorting Saylor’s company. In 2024, investors who bet against the firm lost about $3.3 billion as the stock rose. 

As of May 2025, Strategy holds about 568,840 Bitcoin, valued at around $59 billion. Since the company started accumulating Bitcoin in 2020, its stock price has surged by 1,500%, outperforming the S&P 500’s gains during the same period. 

In a recently released documentary from the Financial Times, Strategy analyst Jeff Walton said that the company’s Bitcoin holdings would help it become the “number one publicly traded equity in the entire market” in the future.

Chanos previously called Bitcoin a “libertarian fantasy”

Chanos has not always been favorable toward Bitcoin. In a 2018 interview, Chanos described Bitcoin as a “libertarian fantasy.” 

Chanos said that having digital currency as a store of value in the worst-case scenario wouldn’t work. The investor said that if fiat currency brings the world down, the last thing he’d want to own is Bitcoin. “Food would work the best,” he said. 

He also criticized Bitcoin for enabling illicit activity, calling the crypto sector “the dark side of finance” in a 2023 interview, and accusing the industry of facilitating tax evasion and money laundering.

Chanos also expressed skepticism about spot Bitcoin exchange-traded funds (ETFs), saying that Wall Street needs to keep the public interested in crypto to profit from the fees. 

Despite those critiques, Chanos now appears to see value in holding Bitcoin directly, particularly in contrast to investing in public companies with large BTC treasuries.

Related: $1B Bitcoin exits Coinbase in a day as analysts warn of supply shock

Chanos’ history in short-selling

Chanos is best known for his short position against the energy company Enron before the firm filed for bankruptcy in 2001. The move generated profits for Kynikos Associates, a firm that he founded. 

A short position involves borrowing assets from a broker, selling them at the current price, and then repurchasing the assets once the value falls to give back what is owed to the broker. Short sellers profit when the asset’s value declines, but face losses when the asset appreciates. 

While the investor profited from short-selling Enron, Chanos’ predictions weren’t always correct. Chanos was bearish on Tesla and announced a short position in 2016. Tesla stock skyrocketed by 2,200% between 2015 and 2021. 

The event caused major losses to Chanos’ fund. In 2020, the fund ended with $405 million in assets under management after having over $900 million the previous year. The fund was converted into a family office, and external assets were returned to investors. 

Magazine: Danger signs for Bitcoin as retail abandons it to institutions: Sky Wee

Cryptocurrencies and stablecoins are gaining recognition in the traditional finance (TradFi) space for their ability to streamline payments and increase efficiency in existing financial systems

In finance, collateral management refers to the process of managing the underlying collateral securing other financial transactions, such as loans or derivatives, to mitigate credit risks and ensure smooth transactions.

Digital assets like stablecoins are the “perfect” financial instrument for real-time collateral management, according to a recent pilot by DTCC Digital Assets, which suggests that digital assets, particularly stablecoins, could modernize and simplify this critical function.

“Digital assets really are the perfect use case for collateral management, whether it be uncleared derivatives, clear derivatives, central counterparties, repo, or any other type of collateral,” said Joseph Spiro, product director at DTCC Digital Assets, during a panel at Consensus 2025.

From left: Ian Allison, CoinDesk reporter; Jelena DDjuric, CEO of Noble; Kyle Hauptman, chairman of the National Credit Union Administration, and Joseph Spiro, digital assets product director at DTCC Digital Assets. Source: Cointelegraph

Collateral management requires complicated manual processes due to stringent requirements for locked-up collateral that can only be released to the appropriate parties at pre-set intervals.

“All of that can be accomplished better, faster, more efficiently through digital assets and smart contracts,” Spiro said, adding that “all the manual processing can go away.”

Related: Top South Korean presidential hopefuls support legalizing Bitcoin ETFs

The pilot, dubbed the “Great Collateral Experiment,” comes as US policymakers work toward clear regulatory frameworks for stablecoins.

On May 14, at least 60 of the top crypto founders gathered in Washington, DC, to support the Guiding and Establishing National Innovation for US Stablecoins, or GENIUS Act. The bill initially failed to get enough support from Democrats on May 8.

Coinbase CEO in Washington, DC on May 14. Source: Brian Armstrong

The GENIUS Act seeks to establish collateralization guidelines for stablecoin issuers while requiring full compliance with Anti-Money Laundering laws.

The bill stalled on May 8 after failing to gain support from key Democrats, some of whom have voiced concerns about US President Donald Trump potentially profiting from digital assets through his crypto-related ventures.

Related: Ukraine strategic Bitcoin reserve bill reportedly in final stages

Stablecoins can streamline lending and settlement

Incorporating stablecoins into traditional fiat-backed loans could further streamline TradFi processes, according to Kyle Hauptman, chairman of the National Credit Union Administration.

The programmability of stablecoins could make the loan repayment process more transparent and streamlined for all participants. It is currently a “clunky process where they settle at the end of the month,” Hauptaman said during the same panel discussion, adding:

“Stablecoins and their programmability can make this vastly easier.”

“We not only made life easier for credit unions to settle these things up, you could do it for smaller amounts of money, but the borrower should get a better deal here because now this thing has some of the traits of a large bond issuance. It’s now liquid,” he said.

Another piece of legislation — the Stablecoin Transparency and Accountability for a Better Ledger Economy (STABLE) Act — passed the House Financial Services Committee on April 2 in a 32–17 vote. The bill awaits scheduling for debate and a floor vote in the House of Representatives.

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Coinbase, the world’s third-largest cryptocurrency exchange, was hit by a $20 million extortion attempt after cybercriminals recruited overseas support agents to leak user data, the company said.

According to a May 15 blog post, Coinbase said a group of external actors bribed and coordinated with several customer support contractors to access internal systems and steal limited user account data.

“These insiders abused their access to customer support systems to steal the account data for a small subset of customers,” Coinbase said, adding that no passwords, private keys, funds or Coinbase Prime accounts were affected.

Less than 1% of Coinbase’s monthly transacting users’ data was affected by the attack, the company said.

Source: Coinbase

After stealing the data, the attackers attempted to extort $20 million from Coinbase in exchange for not disclosing the breach. Coinbase refused the demand.

Related: Ukraine strategic Bitcoin reserve bill reportedly in final stages

Instead, the company offered a $20 million reward for information leading to the arrest and conviction of those responsible for the scheme.

Scammers often masquerade as recognizable brands to inspire a false sense of trust in their victims.

US brands impersonated by scammers the most. Source: Mailsuite

In 2024, Coinbase was the most impersonated cryptocurrency brand by scammers.

This is a developing story, and further information will be added as it becomes available.

Related: Top South Korean presidential hopefuls support legalizing Bitcoin ETFs

Coinbase, the world’s third-largest cryptocurrency exchange, was hit by a $20 million extortion attempt after cybercriminals recruited overseas support agents to leak user data, the company said.

According to a May 15 blog post, Coinbase said a group of external actors bribed and coordinated with several customer support contractors to access internal systems and steal limited user account data.

“These insiders abused their access to customer support systems to steal the account data for a small subset of customers,” Coinbase said, adding that no passwords, private keys, funds or Coinbase Prime accounts were affected.

Less than 1% of Coinbase’s monthly transacting users’ data was affected by the attack, the company said.

Source: Coinbase

After stealing the data, the attackers attempted to extort $20 million worth of Bitcoin (BTC) from Coinbase in exchange for not disclosing the breach. Coinbase refused the demand.

Related: Ukraine strategic Bitcoin reserve bill reportedly in final stages

Instead, the company offered a $20 million reward for information leading to the arrest and conviction of those responsible for the scheme.

Scammers often masquerade as recognizable brands to inspire a false sense of trust in their victims.

US brands impersonated by scammers the most. Source: Mailsuite

In 2024, Coinbase was the most impersonated cryptocurrency brand by scammers.

Related: Top South Korean presidential hopefuls support legalizing Bitcoin ETFs

Coinbase will reimburse phishing attack victims

Coinbase said it will reimburse users who were tricked into sending cryptocurrency to phishing scammers, with expected remediation and reimbursement expenses ranging from $180 million to $400 million.

The crypto exchange disclosed the estimate in an 8-K filing with the US Securities and Exchange Commission on May 15, noting the expenses relate to “voluntary customer reimbursements” and other remediation efforts.

The attackers have been approaching the exchange’s overseas customer support agents for months, aiming to “bribe” them in exchange for customer information, said Coinbase co-founder and CEO Brian Armstrong in a May 15 X post.

Source: Brian Armstrong

Following the attack, the exchange will strengthen its internal data management processes and relocate some of its customer support operations to avoid similar incidents.

Social engineering schemes are a growing concern for Coinbase users. Blockchain security analyst ZachXBT estimated that users lost around $45 million to phishing schemes in the week leading up to May 7.

Source: ZachXBT

The blockchain security analyst previously claimed that social engineering scams cost Coinbase users over $300 million annually, Cointelegraph reported on Feb. 4.

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Mobile-first blockchain Pi Network has launched a $100 million fund to invest in initiatives built on its infrastructure.

According to a May 14 announcement, the Pi Foundation is launching Pi Network Ventures with an initial investment of $100 million in Pi (PI) tokens and US dollars. The fund will invest in startups and businesses building on Pi Network or contributing to its broader ecosystem.

“This strategic program intends to invest in high-quality startups and companies across sectors, driving innovation and ecosystem growth,” Pi Network said in an X post.

Source: Pi Network

The Pi Foundation, the organization behind Pi Network, is described as an “ownerless” entity focused on supporting long-term ecosystem development. The foundation said the new venture fund will draw from the 10% of Pi tokens reserved for ecosystem initiatives.

Pi Network had not responded to Cointelegraph’s request for comment by publication.

Related: Is Pi Network dead? What really went wrong behind the hype

What is Pi Network Ventures?

Pi Network Ventures is tasked with increasing Pi’s utility by investing in startups and businesses that integrate it into products and services. The new organization will attempt to bring more apps, transactions and companies into the network while developing new use cases:

“By aligning incentives and providing resources to high-potential founders, startups and companies, this initiative aims to create a feedback loop of innovation and adoption.“

Related: Pi Network price nears all-time lows as supply pressure mounts

Pi Network Ventures’ strategy

Per the announcement, Pi Network Ventures plans to invest in startups from the early stages to Series B funding rounds and beyond. The hope is that such an approach allows access to high-potential innovators while also helping scale proven businesses.

Pi Network Ventures claims to differ from other crypto ecosystem programs in its focus and processes. The announcement said the company aims not to limit itself to crypto investments but to also fund general technology sectors, including generative AI and AI applications, fintech, embedded payments, e-commerce platforms, marketplaces, social networks and real-world consumer and enterprise applications.

Another claimed difference is that the investment fund aims to act like traditional Silicon Valley venture capital firms. This will reportedly be primarily seen in the sourcing, selection and vetting process, which aims to “identify and support high-impact and disruptive startups and businesses.”

The announcement comes amid ongoing criticism of Pi Network, including accusations of operating a pyramid scheme and concerns over transparency. Skeptics have pointed to the project’s sparse white paper and limited public disclosure regarding its funding sources.

The platform’s user referral model, which rewards participants for inviting others, has drawn comparisons to multilevel marketing structures.

Additionally, Pi Network’s native token, PI, has faced volatility, falling more than 65% since its mainnet launch in late February and currently trading about 25% below its all-time high.

Magazine: Help! My parents are addicted to Pi Network crypto tapper

Mobile-first blockchain Pi Network has launched a $100 million fund to invest in initiatives built on its infrastructure.

According to a May 14 announcement, the Pi Foundation is launching Pi Network Ventures with an initial investment of $100 million in Pi (PI) tokens and US dollars. The fund will invest in startups and businesses building on Pi Network or contributing to its broader ecosystem.

“This strategic program intends to invest in high-quality startups and companies across sectors, driving innovation and ecosystem growth,” Pi Network said in an X post.

Source: Pi Network

The Pi Foundation, the organization behind Pi Network, is described as an “ownerless” entity focused on supporting long-term ecosystem development. The foundation said the new venture fund will draw from the 10% of Pi tokens reserved for ecosystem initiatives.

Pi Network had not responded to Cointelegraph’s request for comment by publication.

Related: Is Pi Network dead? What really went wrong behind the hype

What is Pi Network Ventures?

Pi Network Ventures is tasked with increasing Pi’s utility by investing in startups and businesses that integrate it into products and services. The new organization will attempt to bring more apps, transactions and companies into the network while developing new use cases:

“By aligning incentives and providing resources to high-potential founders, startups and companies, this initiative aims to create a feedback loop of innovation and adoption.“

Related: Pi Network price nears all-time lows as supply pressure mounts

Pi Network Ventures’ strategy

Per the announcement, Pi Network Ventures plans to invest in startups from the early stages to Series B funding rounds and beyond. The hope is that such an approach allows access to high-potential innovators while also helping scale proven businesses.

Pi Network Ventures claims to differ from other crypto ecosystem programs in its focus and processes. The announcement said the company aims not to limit itself to crypto investments but to also fund general technology sectors, including generative AI and AI applications, fintech, embedded payments, e-commerce platforms, marketplaces, social networks and real-world consumer and enterprise applications.

Another claimed difference is that the investment fund aims to act like traditional Silicon Valley venture capital firms. This will reportedly be primarily seen in the sourcing, selection and vetting process, which aims to “identify and support high-impact and disruptive startups and businesses.”

Magazine: Help! My parents are addicted to Pi Network crypto tapper

Private credit marketplace Pareto has introduced a new synthetic dollar aimed at linking institutional investors with decentralized finance (DeFi) opportunities — a move that highlights the expanding role of stablecoins in global finance.

The newly launched USP synthetic dollar is fully backed by real-world private credit, Pareto told Cointelegraph on May 15. To mint USP, users must deposit stablecoins such as USDC (USDC) and USDS, which are then held as collateral.

The deposited funds are placed into Pareto’s credit vaults and lent to what the company describes as “vetted institutional borrowers,” generating yields for participants, Pareto co-founder Matteo Pandolfi told Cointelegraph in a written statement.

To maintain its peg to the US dollar, Pareto uses what it calls a “native backing” process. Each USP token is minted only when an equivalent amount of USDC or USDS is deposited, ensuring full collateralization when the token is created. An arbitrage mechanism also supports the dollar peg’s ongoing stability.

In addition, Pareto has set up a protocol-funded stability reserve to act as a buffer in case of borrower defaults.

Related: Coinbase invests in Canadian stablecoin issuer

Institutional entry into RWA credit market

The company said the synthetic dollar gives institutional investors a regulated onchain entry point into real-world asset (RWA) credit markets — a segment of the tokenization industry that has expanded rapidly over the past year. 

Recent examples of private credit tokenization include Tradable’s portfolio of 30 credit positions and Apollo’s Diversified Credit Securitize Fund.

When asked about the potential risks of connecting DeFi to the often opaque private credit sector, Pareto acknowledged the concern but emphasized its approach to risk management.

“That’s a fair concern, but Pareto was specifically built to address the inefficiencies and opacity that have historically plagued traditional credit markets,” Pandolfi said, adding:

“By bringing private credit onchain, we enable real-time transparency, programmable risk management, and automated settlement while reducing counterparty risk and operational friction.”A chart highlighting the growth of the tokenized credit market. Source: RWA.xyz

Related: VanEck to launch its first RWA tokenization fund

Stablecoins: From crypto niche to the mainstream

Although synthetic dollars account for a small fraction of the total stablecoin market, they are driving innovation by introducing new methods for creating and managing fiat-pegged assets.

Ethena, the largest synthetic dollar network by market capitalization, offers Staked USDe (sUSDe) tokenholders an annual percentage yield of 10%. Roughly 368,000 investors were earning yield as of January, Cointelegraph reported.

Despite the success of synthetic variants, collateralized stablecoins continue to dominate the market — a position US regulators are keen to preserve through proposed legislation like the GENIUS Act and STABLE Act.

Under President Donald Trump, the US government has recognized the role of stablecoins as a “way to support the dollar’s worldwide use as a reserve currency,” Komodo Platform’s chief technology officer, Kadan Stadelmann, told Cointelegraph in a written statement.

“Stablecoins are the second-most adopted blockchain use case behind Bitcoin — more than NFTs and DeFi,” he said. “US dollar-pegged stablecoins account for a mind-boggling 1% of the M2 money supply.”

The total stablecoin market is approaching $250 billion, with Tether accounting for roughly $150 billion. Source: DefiLlama

Sergey Gorbunov, CEO of Interop Labs and co-founder of Axelar Protocol, told Cointelegraph that US regulators have prioritized stablecoin legislation because they know there’s more at stake than just crypto. 

“This is about setting the conditions for regulated US financial firms to lead on stablecoins and preserve the primacy of the US dollar, globally,” he said.

Related: SEC approves first yield-bearing stablecoin security

Ukraine is reportedly moving closer to adopting Bitcoin as a national reserve asset, a move that could bolster its financial resilience amid the ongoing war with Russia.

Lawmakers are reportedly working on a Bitcoin (BTC) national reserve proposal, with a draft bill in its final stages, according to Yaroslav Zhelezniak, a member of parliament who confirmed the plan to local media outlet Incrypted.

The proposal was announced during the CRYPTO 2025 conference in Kyiv on Feb. 6. “We will soon submit a draft law from the industry allowing the creation of crypto reserves,” Zhelezniak said.

Cointelegraph reached out to Zhelezniak for comment on the bill’s status but had not received a response by publication.

Related: Bitcoin treasury firms driving $200T hyperbitcoinization — Adam Back

Bitcoin has gained international attention as a national reserve asset since the election of US President Donald Trump in November 2024. On March 7, Trump signed an executive order to establish a national Bitcoin reserve seeded with BTC confiscated from criminal cases.

Source: Margo Martin

A month later, Swedish MP Rickard Nordin issued an open letter urging Finance Minister Elisabeth Svantesson to consider adopting Bitcoin as a national reserve asset, citing its growing recognition as a “hedge against inflation,” Cointelegraph reported on April 11.

Related: Satoshi Nakamoto turns 50 as Bitcoin becomes US reserve asset

Legal challenges may delay adoption

While Ukraine’s push for a national Bitcoin reserve marks a potentially historic shift in crypto policy, it may require “significant legal change,” according to Kyrylo Khomiakov, regional head of CEE, Central Asia and Africa, at crypto exchange Binance.

“We commend Ukraine’s ambition to establish a strategic crypto reserve,” he told Cointelegraph. “Implementing such a reserve would necessitate significant legal changes, indicating that this process will not be swift.”

He added, “Another positive aspect is that this initiative will likely lead to greater regulatory clarity in Ukraine, as the government will need to articulate its stance more clearly.”

Ukraine was reportedly planning to legalize cryptocurrencies in early 2025 with the finalization of a draft bill in coordination with the National Bank of Ukraine (NBU) and the International Monetary Fund (IMF), according to Daniil Getmantsev, head of the tax committee of the Verkhovna Rada.

On April 8, Ukraine’s financial regulator proposed taxing certain crypto transactions as personal income with a rate of up to 23%, excluding crypto-to-crypto transactions and stablecoins.

Not all voices in Ukraine’s crypto industry are optimistic about the timing of the proposal.

”The country is broke. More than 50% of the budget is in grants and loans from the European Union,” said Michael Chobanian, the founder of Ukraine-based Kuna exchange.

“The population is decreasing at the fastest rate in the world. Men are kidnapped and sent to the army against their will. What kind of BTC reserves are we talking about here? This is done only to divert your attention,” Chobanian claimed.

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