Moldova Moves to Regulate Crypto Under EU-Style MiCA Rules

Moldova plans to introduce its first comprehensive cryptocurrency legislation by the end of 2026, aligning its rules with the European Union's Markets in Crypto-Assets Regulation (MiCA) framework. Finance Minister Andrian Gavrilita said the government is working with regulators to develop a legal framework that would allow citizens to hold and trade cryptocurrencies.

The announcement comes over a year after the full implementation of the EU's MiCA framework, the first comprehensive regulatory framework for the crypto industry. Moldova's central bank has issued numerous warnings about the volatility and money laundering risks associated with digital assets.

The legislation aims to legalize holding and transacting cryptocurrencies, but it won't include provisions to legalize digital assets for payments within the country. Gavrilita highlighted the speculative nature of cryptocurrencies multiple times during the interview.

Why Did This Happen?

Moldova's move to regulate cryptocurrency is part of its commitments as a candidate for EU membership. The country is required to implement the latest EU rules as a candidate for membership.

The framework will also introduce strict rules for taxation and the prevention of money laundering. Gavrilita said the bill is currently being drafted by several institutions, including the National Bank of Moldova and the National Commission for Financial Markets.

How Did Markets Respond?

Moldova's upcoming crypto rules will also impose taxation of crypto-related incomes and capital gains. Under the future tax regime, cryptocurrency holdings will not be taxed, but profits from transactions with them will.

The regulation will be drafted in line with current European directives, taking into account the experience gained by neighboring Romania and other EU member states. Using cryptocurrencies like Bitcoin to buy goods and pay for services will not be permitted.

What Are Analysts Watching Next?

The new law will determine who has the right to conduct crypto transactions, convert digital coins into the national fiat, the Moldovan leu, or foreign currencies, and will define which organizations will be authorized to operate in this market.

The official added that the framework will also address money laundering and security risks. He highlighted a recent case of treason involving the transfer of large amounts of cryptocurrency, which demonstrated the vulnerability of the unregulated sector.

A court in the capital, Chișinău, recently sentenced Moldovan citizen Denis Cuculescu to 15 years in prison for treason and large-scale fraud. He was convicted in absentia for allegedly using his crypto expertise to transfer and cash out significant sums of money, assisting a foreign state in carrying out hostile activities against his country.