President Karol Nawrocki has blocked Poland’s long-anticipated “Crypto-Asset Market Act,” saying the bill’s broad powers would undermine civil freedoms, endanger property rights, and destabilize the national economy.
The move has sparked a nationwide debate, drawing praise from the crypto community and fierce criticism from government officials pushing for stricter oversight.
Notably, the bill, approved by the Polish Sejm in late September, was intended to align the country with the European Union’s Markets in Crypto-Assets (MiCA) framework. Instead, it now finds itself at the center of a political standoff that could influence Poland’s digital-asset landscape for years.
According to a Monday note by President Nawrocki, one of the most troubling elements of the bill was its provision allowing authorities to disable or block websites connected to cryptocurrency services.
He argued that such broad powers lacked the transparency and safeguards seen in comparable EU regulations, warning that “a single click” could be used to stifle legitimate businesses and silence innovation.
Nawrocki said the measure “opened the door to abuse,” adding that similar laws in neighboring countries were far narrower and designed with clearer checks and balances.
The president also criticized the size and complexity of the bill, which stretched over 100 pages, far exceeding the regulatory frameworks adopted by countries like the Czech Republic and Slovakia.
“Overregulation is a surefire way to push companies abroad—to the Czech Republic, Lithuania, or Malta—instead of creating the conditions for them to earn and pay taxes in Poland.” He warned.
High regulatory fees were another sticking point. Nawrocki argued that the proposed cost structure would make it nearly impossible for domestic startups to compete, leaving the market to large foreign corporations and financial institutions.
“This is a distortion of competition and a threat to innovation,” his office said.
Members of the ruling coalition responded sharply, accusing the president of undermining consumer protection efforts at a time when crypto-related fraud remains a persistent issue.
Deputy Finance Minister Jurand Drop warned that without a designated supervisory authority, as required by MiCA, crypto firms may be unable to register in Poland after July 1, 2026. This could trigger an exodus of companies to other EU states, taking fees, tax revenue, and customer protection mechanisms with them.
Reactions from the crypto industry have been mixed. While some organizations argued the bill would finally bring clarity to a fragmented market, others saw the legislation as excessively restrictive. Sławomir Mentzen, a right-wing opposition figure and outspoken crypto advocate, celebrated the president’s decision, saying the bill would have “destroyed the Polish cryptocurrency market.”
Elsewhere, economists like Krzysztof Piech added that MiCA’s EU-wide rules, which take effect in mid-2026, would ultimately provide the needed investor protections without the burdens imposed by the Polish bill.
Source: https://zycrypto.com/polish-president-vetoes-crypto-bill-citing-threats-to-freedoms/
