PROSPECTS FOR REGULATION OF ACCOUNTING AND TAXATION OF VIRTUAL ASSETS IN UKRAINE

Abstract

Introduction. The advent of virtual assets has brought both challenges and opportunities, reshaping global financial systems and necessitating updated regulatory, accounting, and taxation frameworks. Ukraine stands at a critical juncture, integrating these digital innovations into its legal and financial infrastructure while aligning with global standards. Purpose. This article aims to provide a thorough examination of Ukraine’s developing frameworks for the regulation, accounting, and taxation of virtual assets. It assesses the effectiveness of current strategies and identifies areas for enhancement to ensure a robust integration of virtual assets into Ukraine's financial system. Methods. The research employs a comparative analysis method, juxtaposing Ukraine's frameworks with global standards. This approach is supported by a review of recent academic literature and regulatory reports, offering a comprehensive perspective on the adaptation processes and methodologies applied in the integration of virtual assets. Results. The findings reveal that while Ukraine has made significant progress, particularly with the adoption of the "Law on Virtual Assets," gaps remain in fully securing a stable and transparent virtual asset market. The study highlights the need for continual regulatory updates and the adoption of international accounting standards to manage the complexity and volatility of virtual assets. Conclusion. Ukraine’s proactive regulatory adaptations position it to potentially lead in the integration of virtual assets globally. Continued alignment with international standards and responsive updates to regulatory frameworks are essential to harness the economic benefits and mitigate associated risks. This ongoing evolution will support Ukraine's strategic positioning in the global digital economy and foster a stable environment for innovation and investment in virtual assets.