Key Criticisms of the Crypto-Asset Market Act
The CEO of a Polish cryptocurrency exchange has joined a growing list of stakeholders criticizing the country’s interpretation of the European Union’s Markets in Crypto-Assets regulation (MiCA) as “a major step backwards.” Przemysław Kral, who heads the centralized exchange Zondacrypto, described Poland’s Crypto-Asset Market Act as “a prime example of overregulation.”
Passed by Poland’s lower house of parliament, or Sejm, on Sept. 26, the Crypto-Asset Market Act reportedly grants the Polish Financial Supervision Authority (KNF) the power to block suspicious domains and impose hefty fines. Critics argue that such sweeping powers and stringent requirements could drive smaller players out of the country.
Supporters of the draft bill—which must still be passed by the Senate and signed into law by the president—insist it will end the crypto “Wild West” in Poland while enhancing investor protection. However, while the importance of regulation is not lost on players in the Polish crypto industry, critics like Kral believe the draft goes too far and that the domestic crypto sector will be one of its biggest casualties.
“Poland has taken it too far and its domestic crypto industry will suffer as a result. It imposes excessive restrictions that treat crypto as a threat rather than an opportunity. These new rules could criminalise basic activities like smart contract development, which risks stifling innovation. Companies will relocate to friendlier markets, taking jobs and tax revenue with them,” Kral said.
If signed into law, the legislation would also make it significantly harder for new crypto companies to launch in Poland, potentially leaving the industry in the hands of a few dominant players.
Under Polish law, the Senate has 30 days to review the draft bill, though this period can be shortened to 14 days if the legislation is classified as urgent. Some reports suggest the president may veto the draft if it reaches his desk in its current form.
