{"id":12655,"date":"2024-12-06T16:13:02","date_gmt":"2024-12-06T16:13:02","guid":{"rendered":"https:\/\/axevera.com\/?p=12655"},"modified":"2024-12-06T16:13:04","modified_gmt":"2024-12-06T16:13:04","slug":"prague-a-new-cryptocurrency-law-awaits-senate-approval","status":"publish","type":"post","link":"https:\/\/axevera.com\/en\/2024\/12\/06\/prague-a-new-cryptocurrency-law-awaits-senate-approval\/","title":{"rendered":"Prague: A New Cryptocurrency Law Awaits Senate Approval"},"content":{"rendered":"\n<p>The Czech Republic is preparing to introduce a significant change in the cryptocurrency sector with a new law on the digitalization of the financial market. After being approved by the Chamber of Deputies, the law now awaits Senate approval and the President&#8217;s signature to become law.<\/p>\n\n\n\n<p>If passed, the legislation will establish a clear and rigorous regulatory framework aimed at regulating crypto-assets, ensuring transparency, and providing greater consumer protection. Among the most notable provisions is a <strong>tax exemption for income derived from the sale of crypto-assets, up to 100,000 CZK per fiscal period or after three years of holding. <\/strong>The bill also assigns the Czech National Bank (CNB) the role of the main market supervisor, aligning with European standards and helping to strengthen investor confidence.<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full is-resized\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"1024\" src=\"https:\/\/axevera.com\/wp-content\/uploads\/2024\/12\/DALL\u00b7E-2024-12-06-16.59.43-A-professional-and-modern-illustration-representing-the-cryptocurrency-legislation-in-Prague-Czech-Republic.-The-image-features-the-Czech-flag-blende-1.webp\" alt=\"\" class=\"wp-image-12656\" style=\"width:494px;height:auto\" srcset=\"https:\/\/axevera.com\/wp-content\/uploads\/2024\/12\/DALL\u00b7E-2024-12-06-16.59.43-A-professional-and-modern-illustration-representing-the-cryptocurrency-legislation-in-Prague-Czech-Republic.-The-image-features-the-Czech-flag-blende-1.webp 1024w, https:\/\/axevera.com\/wp-content\/uploads\/2024\/12\/DALL\u00b7E-2024-12-06-16.59.43-A-professional-and-modern-illustration-representing-the-cryptocurrency-legislation-in-Prague-Czech-Republic.-The-image-features-the-Czech-flag-blende-1-300x300.webp 300w, https:\/\/axevera.com\/wp-content\/uploads\/2024\/12\/DALL\u00b7E-2024-12-06-16.59.43-A-professional-and-modern-illustration-representing-the-cryptocurrency-legislation-in-Prague-Czech-Republic.-The-image-features-the-Czech-flag-blende-1-150x150.webp 150w, https:\/\/axevera.com\/wp-content\/uploads\/2024\/12\/DALL\u00b7E-2024-12-06-16.59.43-A-professional-and-modern-illustration-representing-the-cryptocurrency-legislation-in-Prague-Czech-Republic.-The-image-features-the-Czech-flag-blende-1-768x768.webp 768w, https:\/\/axevera.com\/wp-content\/uploads\/2024\/12\/DALL\u00b7E-2024-12-06-16.59.43-A-professional-and-modern-illustration-representing-the-cryptocurrency-legislation-in-Prague-Czech-Republic.-The-image-features-the-Czech-flag-blende-1-100x100.webp 100w, https:\/\/axevera.com\/wp-content\/uploads\/2024\/12\/DALL\u00b7E-2024-12-06-16.59.43-A-professional-and-modern-illustration-representing-the-cryptocurrency-legislation-in-Prague-Czech-Republic.-The-image-features-the-Czech-flag-blende-1-140x140.webp 140w, https:\/\/axevera.com\/wp-content\/uploads\/2024\/12\/DALL\u00b7E-2024-12-06-16.59.43-A-professional-and-modern-illustration-representing-the-cryptocurrency-legislation-in-Prague-Czech-Republic.-The-image-features-the-Czech-flag-blende-1-500x500.webp 500w, https:\/\/axevera.com\/wp-content\/uploads\/2024\/12\/DALL\u00b7E-2024-12-06-16.59.43-A-professional-and-modern-illustration-representing-the-cryptocurrency-legislation-in-Prague-Czech-Republic.-The-image-features-the-Czech-flag-blende-1-350x350.webp 350w, https:\/\/axevera.com\/wp-content\/uploads\/2024\/12\/DALL\u00b7E-2024-12-06-16.59.43-A-professional-and-modern-illustration-representing-the-cryptocurrency-legislation-in-Prague-Czech-Republic.-The-image-features-the-Czech-flag-blende-1-1000x1000.webp 1000w, https:\/\/axevera.com\/wp-content\/uploads\/2024\/12\/DALL\u00b7E-2024-12-06-16.59.43-A-professional-and-modern-illustration-representing-the-cryptocurrency-legislation-in-Prague-Czech-Republic.-The-image-features-the-Czech-flag-blende-1-800x800.webp 800w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure><\/div>\n\n\n<p><strong>The Regulatory Framework<\/strong><\/p>\n\n\n\n<p>The law outlines key provisions to strictly regulate the market and ensure investor confidence. Among the main measures:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><em>CNB Supervision<\/em>: The National Bank will oversee compliance, manage lists of authorized operators, and impose penalties of up to 50 million CZK for violations.<\/li>\n\n\n\n<li><em>Consumer Protection<\/em>: In the event of a service provider&#8217;s failure, crypto-assets will be protected from forced execution, ensuring significant safeguards for investors.<\/li>\n\n\n\n<li><em>Operator Standards: <\/em>Intermediaries will need to demonstrate high professional competence, providing clients with clear and detailed information about the risks and opportunities of crypto-assets.<\/li>\n\n\n\n<li><strong><em>Tax Exemptions<\/em>: Income from crypto-asset sales will be tax-exempt up to 100,000 CZK per fiscal period or after three years of holding.<\/strong><\/li>\n<\/ul>\n\n\n\n<p>These measures aim to make crypto-asset investments safer and more comparable to traditional investments, thereby increasing investor trust. The goal is to create a stable environment in line with conventional financial market standards.<\/p>\n\n\n\n<p><strong>Aligning with the European Framework<\/strong><\/p>\n\n\n\n<p>The bill has been presented in anticipation of the European <em>MiCA regulation (Markets in Crypto-Assets)<\/em>, which will become fully applicable from December 30th, 2024. <strong>MiCA<\/strong> introduces strict rules for crypto-asset issuers and service providers, focusing on transparency, disclosure, authorization, and supervision. This regulatory framework seeks to harmonize the sector across Europe, improve financial stability, and prevent illicit activities such as money laundering and sanction evasion.<\/p>\n\n\n\n<p>Under MiCA, intermediaries will be required to register in the EU and collect data on buyers and sellers to curb money laundering and complicate sanction evasion.<\/p>\n\n\n\n<p><strong>Conclusions<\/strong><\/p>\n\n\n\n<p>The future of this legislation now hinges on the Senate&#8217;s decision and the President&#8217;s signature. If the legislative process is completed, the law will provide greater transparency and protection in the cryptocurrency market while fostering the economic and technological development of the sector. However, the text remains pending final approval, which will be crucial in shaping the future of the crypto-asset market in the Czech Republic.<\/p>\n\n\n\n<p>Sources: <a href=\"https:\/\/www.esma.europa.eu\/esmas-activities\/digital-finance-and-innovation\/markets-crypto-assets-regulation-mica\">https:\/\/www.esma.europa.eu\/esmas-activities\/digital-finance-and-innovation\/markets-crypto-assets-regulation-mica<\/a><\/p>\n\n\n\n<p><a href=\"https:\/\/gomica.eu\/insights\/mica-s-transitional-regime-measures-and-deadlines-for-token-issuers-and-casps\">https:\/\/gomica.eu\/insights\/mica-s-transitional-regime-measures-and-deadlines-for-token-issuers-and-casps<\/a><\/p>\n\n\n\n<p><a href=\"https:\/\/www.psp.cz\/sqw\/text\/orig2.sqw?idd=241610\">https:\/\/www.psp.cz\/sqw\/text\/orig2.sqw?idd=241610<\/a><\/p>\n\n\n\n<p><a href=\"https:\/\/www.ceskenoviny.cz\/zpravy\/trh-s-kryptoaktivy-dostane-zakonna-pravidla-navrh-schvalila-snemovna\/2605366\">https:\/\/www.ceskenoviny.cz\/zpravy\/trh-s-kryptoaktivy-dostane-zakonna-pravidla-navrh-schvalila-snemovna\/2605366<\/a><\/p>\n\n\n\n<p>Image generated by AI.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Czech Republic is preparing to introduce a significant change in the cryptocurrency sector with a new law on the digitalization of the financial market. After being approved by the&#8230;<\/p>\n","protected":false},"author":5,"featured_media":12652,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[525],"tags":[],"yst_prominent_words":[],"class_list":{"0":"post-12655","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-en"},"_links":{"self":[{"href":"https:\/\/axevera.com\/en\/wp-json\/wp\/v2\/posts\/12655","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/axevera.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/axevera.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/axevera.com\/en\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/axevera.com\/en\/wp-json\/wp\/v2\/comments?post=12655"}],"version-history":[{"count":1,"href":"https:\/\/axevera.com\/en\/wp-json\/wp\/v2\/posts\/12655\/revisions"}],"predecessor-version":[{"id":12660,"href":"https:\/\/axevera.com\/en\/wp-json\/wp\/v2\/posts\/12655\/revisions\/12660"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/axevera.com\/en\/wp-json\/wp\/v2\/media\/12652"}],"wp:attachment":[{"href":"https:\/\/axevera.com\/en\/wp-json\/wp\/v2\/media?parent=12655"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/axevera.com\/en\/wp-json\/wp\/v2\/categories?post=12655"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/axevera.com\/en\/wp-json\/wp\/v2\/tags?post=12655"},{"taxonomy":"yst_prominent_words","embeddable":true,"href":"https:\/\/axevera.com\/en\/wp-json\/wp\/v2\/yst_prominent_words?post=12655"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}