Poland Debates Crypto Rules as Ruling Party Seeks Ban

Poland's lower house, the Sejm, is reviewing two competing proposals on cryptocurrencies. One set of bills, drafted by several lawmakers with input from industry stakeholders, would regulate crypto service providers with registration, oversight and anti-money-laundering requirements. The ruling Law and Justice party has submitted a separate draft that would ban the issuance, exchange and use of private cryptocurrencies for payments in Poland.

The regulatory drafts would require platforms and custodians to register with national authorities, adopt custody rules for client assets and report suspicious transactions to financial supervisors. Supporters of the regulatory approach say those measures would reduce fraud and allow legitimate firms to operate under clear legal obligations.

PiS legislators who proposed the ban argue it would protect consumers and limit criminal uses of digital tokens. Their draft would make it illegal to issue, trade or use private cryptocurrencies as a means of payment on Polish territory, citing concerns about volatility, scams and money laundering.

Exchanges, fintech companies and start-ups have warned that an outright ban could push trading and related services offshore and damage local firms. Industry representatives favor a regulated market that would enable authorities to monitor activity and provide predictable enforcement for businesses operating in Poland.

Poland's financial regulators and the central bank have previously issued warnings about crypto risks, including price volatility and limited consumer protections. Lawmakers must also consider the EU's Markets in Crypto-Assets regulation, which sets common rules for many crypto activities across member states and could affect how national measures are implemented.

Parliamentary committees are expected to scrutinize both the regulatory bills and the PiS ban proposal, gather expert testimony and seek input from law enforcement, financial supervisors and the business community. No public timetable has been set for committee reports or a floor vote.

Legal advisers say a national prohibition would raise enforcement challenges, including policing online platforms, crypto wallets and peer-to-peer transactions, and coordinating with EU rules and international partners. The proposed measures under debate would directly affect start-ups, custodial services, trading platforms and consumers who hold digital assets in Poland.