Poland's Sejm Backs Tough Crypto Law with Fines and Prison Sentences

Poland's parliament has approved stringent cryptocurrency legislation under EU MiCA compliance, introducing severe penalties including hefty fines and prison sentences for crypto violations. The new regulatory framework significantly expands government oversight powers over digital assets, Bitcoin trading, and blockchain operations within Polish borders.

The tough crypto law targets cryptocurrency exchanges, DeFi platforms, and digital asset service providers with enhanced compliance requirements. Industry experts warn these restrictive measures could trigger a mass exodus of Polish cryptocurrency startups to more crypto-friendly jurisdictions, potentially stifling blockchain innovation and Bitcoin adoption.

The legislation aligns Poland with European Union Markets in Crypto-Assets (MiCA) regulations, establishing strict licensing requirements for cryptocurrency businesses. While supporters argue the law provides necessary consumer protection and market stability, critics fear it may hamper Poland's emerging fintech sector and drive cryptocurrency entrepreneurs overseas.

This regulatory crackdown reflects broader European efforts to control digital assets, potentially impacting Bitcoin prices and cryptocurrency market sentiment across the region. Polish crypto companies now face critical decisions about relocating operations or adapting to the new compliance landscape under these punitive cryptocurrency regulations.