Author: Zen, PANews
As the year draws to a close, Poland has begun a fierce struggle over the cryptocurrency regulatory bill.
On December 9, the Polish government resubmitted the cryptocurrency bill, and it was once again submitted to the Polish Sejm on December 10. The content of this bill is identical to the version just vetoed by the president a few days ago, with "not a single word changed."
This move has caused an uproar in Polish politics: the liberal Prime Minister Donald Tusk's government insists that the bill involves national security and cannot be delayed, while the nationalist President Karol Nawrocki strongly blocks it on the grounds of safeguarding civil liberties and market vitality.
This game around the Markets in Crypto-Assets (MiCA) bill will continue to make Poland one of the few countries in the European Union that has not completed its domestic supporting legislation for the Markets in Crypto-Assets Regulation (MiCA).
Why is Poland's Cryptocurrency Bill Considered "Strong Regulation"
This Polish Markets in Crypto-Assets bill aims to align national law with the EU's MiCA regulation.
The bill establishes a unified regulatory framework for the crypto-asset industry. Its main provisions include clarifying the regulatory scope and licensing system, standardizing anti-money laundering and transparency obligations, emphasizing consumer protection measures, and establishing regulatory fees and industry standards.
Specifically, the bill designates the Polish Financial Supervision Authority (KNF) as the competent regulatory authority for the crypto-asset market. All Crypto-Asset Service Providers (CASPs) must register with the KNF and obtain a license to operate legally. This covers cryptocurrency exchanges, custodial wallet service providers, token issuers, and stablecoin issuing operators, among others. Service providers must declare their business operations to the KNF and undergo regulatory audits; violators will face sanctions. The bill even introduces criminal liability, making the unlicensed issuance of tokens or provision of crypto-asset services subject to legal prosecution.
Furthermore, the bill explicitly places crypto-asset service providers under the framework of anti-money laundering and counter-terrorist financing regulations, requiring them to comply with the relevant provisions of the Anti-Money Laundering Act. This means CASPs must implement customer identification (KYC), suspicious transaction reporting, and other obligations to prevent crypto-assets from being used for illegal financial activities. Simultaneously, the bill strengthens information reporting and transparency requirements, such as stipulating that crypto businesses must report transaction data to tax and law enforcement authorities, and strictly limiting the use of intelligence obtained from other EU countries to tax, law enforcement, and anti-money laundering agencies only. Through these measures, regulatory authorities hope to increase market transparency and strengthen cross-border cooperative supervision.
Given that crypto investment is quite popular in Poland and risk incidents occur frequently, the bill focuses on adding investor protection clauses. For example, it strengthens the regulation of crypto-asset advertising and information disclosure, requiring token issuances to provide clear white papers or risk warnings (consistent with MiCA requirements) to prevent false advertising and scams. At the same time, the KNF can take swift action against platforms suspected of fraud, including quickly blocking relevant websites. Legislators believe these measures will help curb fraudulent activities in the crypto field and protect investor rights and market confidence.
To support regulatory work, the bill establishes a system of regulatory fees for crypto service providers, whereby licensed institutions pay a certain proportion of fees to fund the KNF's daily supervision. However, this provision has been quite controversial during the legislative process—the fee level is set quite high, and the president and opponents question that this will make it difficult for startups to survive, benefiting only large foreign financial institutions, thereby stifling competitive markets and seriously endangering innovation.
The bill text is over 100 pages long, detailing compliance requirements and penalty rules for various links such as crypto-asset issuance, trading, and custody. Compared to the concise legislation of dozens of pages in neighboring countries, it appears particularly detailed. Supporters say this "strong regulation" helps prevent systemic risks, but opponents worry that overly complex regulations will increase corporate compliance burdens.
Historical Context: How the Bill Deadlock Formed
According to public reports, Poland's efforts to incorporate MiCA into its national legal system can be traced back to February 2024, when the Ministry of Finance released the first draft of the Markets in Crypto-Assets bill on the government's legislative center website for public consultation.
Half a year later, in August 2024, the government published an updated version of the bill draft. The new draft adjusted the transition period, license application process, etc., for example, moving the transition deadline from the original end of 2025 forward to June 30, 2025, in order to accelerate the MiCA implementation process.
In June of this year, the Polish coalition government formally passed the proposal for the Markets in Crypto-Assets bill and submitted it to parliament for deliberation. The ruling coalition, led by Prime Minister Donald Tusk, advocated for the swift implementation of EU regulations. Right-wing parties in opposition since the 2023 election, including Law and Justice (PiS) and the Confederation, had reservations about the bill, but as they were not in power, the bill still progressed smoothly.
In November 2025, the Polish Sejm held a final vote on the bill and passed it. Ruling coalition MPs unanimously supported it; this coalition spans left, center, and right factions, forming a stable majority. The right-wing opposition parties, who considered the bill too strict, voted against it but were unable to block its passage due to insufficient seats. The bill was then sent to the president for signature to take effect.
However, Polish President Karol Nawrocki announced at the beginning of this month that he would veto this Markets in Crypto-Assets bill. In his presidential announcement, he severely criticized the bill for endangering the freedom, property, and national stability of Polish citizens, specifically pointing out that the regulatory measure of "one-click website blocking" was too vague and easily abused, potentially infringing on the rights of legitimate operators.
Nawrocki also questioned that the Polish version of the regulation was lengthy and the regulatory fees were too high. Compared to the simple practices of neighboring countries, it seemed to "over-regulate," which might drive innovative companies out of Poland. This is also one of the rare cases in Poland where the president used his veto power to reject economic legislation, plunging the bill into a stalemate.
Faced with the president's strong opposition and criticism, the Sejm subsequently held a special session in an attempt to override the presidential veto but failed to obtain the required three-fifths supermajority support. In the vote that day, only 243 MPs voted in favor of overriding the veto, falling short of the statutory threshold of at least 276 votes.
The debate surrounding the bill was highly charged before and after the vote. Prime Minister Tusk briefed MPs on "urgent national security information" in a closed-door meeting before the session and also posted on X, calling this vote a "contest between Russian funds and services and the security of the state and its citizens." Tusk told the parliament: "There is no doubt that this market is highly vulnerable to exploitation by foreign powers, intelligence agencies, and the mafia. The challenge for the state is to provide the necessary tools to ensure it is not helpless."
The president's side condemned the prime minister for dichotomizing the issue. The Head of the Presidential Chancellery, Zbigniew Bogucki, said that opposing this bill should not be equated with supporting the Russian mafia. Despite the ruling camp's intense mobilization, the opposition and some hesitant MPs ultimately kept the veto in place. He called on the government to cooperate with the Presidential Palace to draft a new law together.
However, Tusk's side was clearly unwilling to concede. Just days after the veto was sustained, the Council of Ministers led by the Prime Minister, disregarding the president's objection, resubmitted the original bill to parliament on December 9 for a new legislative process. Notably, the submitted version was touted as "unchanged word for word."
The government's move is a public challenge to the president. Through the media, it called on the president to sign the new law as soon as possible, claiming that further delays would expose Poland to more cryptocurrency security threats from Russian and other forces. This rare stalemate has made the cryptocurrency regulatory bill a focal point of contention between the two major political camps and added uncertainty to the legislative direction in the coming months.
Ice and Fire: The Background of the Crypto Regulation Dispute
Similar to US President Trump, Polish President Karol Nawrocki promised during the 2025 presidential campaign to build a crypto-friendly economy, oppose excessive regulation, and gained support from some crypto investors and libertarian voters.
Therefore, it is natural for this pro-crypto president and his supporters (mainly the right-wing opposition) to oppose the bill. Their core rationale is the concern that over-regulation will stifle the market and infringe on freedom. Nawrocki emphasized in his veto statement that the bill grants regulatory authorities overly broad powers, such as allowing the KNF to easily block accounts or domain names, which in his view threatens the economic freedom of citizens.
The Presidential Palace pointed out that the Polish version of the regulation is complex, lengthy, and demanding, inconsistent with the streamlined approach taken by neighboring countries implementing MiCA. Zbigniew Bogucki criticized the bill as "overly burdensome and contrary to the original intent of EU legislation." They cited examples like the Czech Republic and Slovakia, which completed their MiCA alignment with only a dozen pages of regulation, while Poland produced over a hundred pages of rules, arguing that it was creating unnecessary bureaucratic hurdles.
Economically, the presidential camp worries that high regulatory fees and cumbersome requirements will force local crypto startups to move to more lenient environments like Lithuania or Malta. This view is also supported by politicians from parties like the far-right Confederation. Confederation leader Sławomir Mentzen publicly stated that the bill would destroy Poland's emerging crypto market, hailing the presidential veto as a victory for protecting innovation.
Prime Minister Donald Tusk and the ruling coalition strongly advocate for immediate strengthened regulation to ensure national security and fulfill EU obligations. Tusk has repeatedly emphasized that the unregulated cryptocurrency market provides opportunities for criminals and hostile forces, easily exploited by foreign intelligence services and mafia organizations. He elevated the promotion of this bill to a national security level, bluntly stating, "Either you stand with Russian black money and agents, or you support my bill."
In parliamentary debates, Tusk pointed out that according to intelligence, there are hundreds of crypto companies registered in Poland linked to Russia and other former Soviet countries, believing that Poland's crypto market has been "infiltrated by Russian forces." He worries that unregulated capital flows could be used for money laundering, funding sabotage, or evading sanctions.
The ruling camp also repeatedly mentioned the high incidence of domestic fraud cases: government officials revealed that since the beginning of 2024, there have been over 5,800 fraud cases involving crypto-assets, and the lack of regulation leaves the market like the Wild West. In their view, legislative lag is equivalent to leaving consumers at risk.
Another major argument of the Tusk government is the unified process of EU MiCA: all member states need to designate national regulatory authorities and issue CASP licenses on time; otherwise, domestic companies will be unable to operate legally within the EU. Deputy Finance Minister Jurand Drop warned that if Poland fails to establish the MiCA framework before July 2026, domestic crypto companies will have to register overseas. Consequently, tax revenues and fees generated from serving Polish clients will flow abroad. Moreover, if Polish users encounter problems with foreign licensed exchanges, they will face difficulties in seeking cross-border redress.
The debate between the Polish President and Prime Minister over the cryptocurrency bill reflects deep-seated differences between the two camps in their approaches to economic regulation, security concepts, and the degree of EU integration. From the perspective of the president and the right wing, the free vitality of the market is paramount, and the government should not overly intervene in emerging industries; they worry that a wave of regulation like this bill will weaken Poland's potential as a crypto-friendly market. Conversely, the Prime Minister and the ruling coalition lean towards strong regulation to ensure stability, believing that appropriately strict rules can purify the market environment and, in the long run, be beneficial for the healthy development of the industry.
Overall, the dispute over Poland's cryptocurrency bill goes far beyond the technical level; it has actually become a political game between the ruling coalition and the conservative presidential palace. The Tusk government pushes for the implementation of the regulation under the banner of maintaining financial order and national security; President Nawrocki raises the flag of protecting free markets and civil rights, using the veto power as a weapon to rival the government.
The博弈 surrounding the crypto bill continues. The ruling camp may try to persuade some opposition MPs to pass a new version of the bill or make concessions on details in exchange for the president's signature. On the president's side, whether he can find a balance between adhering to principles and international pressure remains unknown.
Regardless of the outcome, this dispute has become a landmark event in the history of Polish digital policy, highlighting the subtle and important balancing act between regulation and freedom, and between the nation and the EU.
