Polish President Karol Nawrocki has refused to sign a law introducing strict regulations on the crypto asset market, drawing praise from the crypto community and harsh criticism from the government.
Nawrocki vetoed Poland’s Crypto Assets Market Law, saying its provisions “really threaten the freedoms of Poles, their property and the stability of the state,” according to press release of the president’s office on Monday.
Unveiled in June, the law drew criticism from industry advocates such as Polish politician Tomasz Mentzen, who expected the president to refuse to sign it after it received parliamentary approval.
Although crypto advocates hailed the veto as a victory for the market, several government officials condemned the move, arguing that the president “chose chaos” and must bear full responsibility for the outcome.
Why did the president veto the bill
One of the main reasons cited for the veto was a provision that allows authorities to easily block websites operating on the crypto market.
“Domain blocking laws are opaque and open to abuse,” the president’s office said he said in the official press release.
The president’s office also cited the widely criticized length of the draft, saying its complexity reduces transparency and leads to “over-regulation”, especially compared to simpler frameworks in the Czech Republic, Slovakia and Hungary.
“Excessive regulation is an easy way to drive companies to the Czech Republic, Lithuania or Malta, instead of creating conditions for them to do business and pay taxes in Poland,” the president said.
Nawrocki also pointed to exorbitant supervisory fees, which can hinder business startups and favor foreign corporations and banks.
“This is a reversal of logic, the destruction of a competitive market and a serious threat to innovation,” he said.
Critics jumped in: “The president chose chaos”
Nawrocki’s veto provoked a strong reaction from top Polish officials, including Finance Minister Andrzej Domański and Deputy Prime Minister and Foreign Minister Radosław Sikorski.
Domanski warned to X that “already 20% of clients are losing their money as a result of abuse in this market,” accusing the president of “choosing chaos” and bearing full responsibility for the consequences.
Related: Junior Spanish ruling party proposes 47% crypto tax in ‘attack on Bitcoin’
Sikorski echoed the concerns, saying the bill was meant to regulate the crypto market. “When the bubble bursts and thousands of Poles lose their savings, at least they will know who to thank,” Sikorski claimed on X.
Crypto advocates, including Polish economist Krzysztof Piech, quickly hit back, arguing that the president cannot be held responsible for the authorities’ failure to prosecute fraudsters.
He also noted that the European Union’s Markets in Crypto Assets (MiCA) Regulation will ensure investor protection in all EU member states starting July 1, 2026.
Magazine: When Privacy Laws and AML Collide: The Impossible Choice of Crypto Projects
About the Author
