KNF warns Polish crypto exchanges may become illegal on 1 July

Polish crypto exchanges and digital-asset providers may fin themselves operating illegally as soon as 1 July 2026. The Financial Supervision Authority (KNF) warned that without a national law implementing MiCA, no crypto company in the country will have legal status.

The bill – intended to define regulatory powers and establish a licensing framework – has already passed the Sejm and Senate for a second time after being rejected last year by newly elected president Karol Naurocki. But KNF believes the president is prepared to veto it again, prolonging legal uncertainty and potentially pushing the entire sector outside the law.

KNF stresses that under MiCA, every EU member state must appoint a competent national supervisory authority by July. Poland has not done so – the bill has not entered into force, meaning no authorised body exists to oversee crypto exchanges or token issuers. As a result, the regulator warns that after 1 July, domestic platforms will automatically become illegal until they obtain licences in other EU jurisdictions.

Effectively, KNF offers a single solution: relocation. The agency stated plainly that crypto companies can register in any other EU country and continue operating in Poland via MiCA passporting. But this would deal a major blow to the national budget: exchanges would stop paying taxes domestically, and the local digital-asset ecosystem could rapidly contract.

Industry experts argue that the main problem is not the lack of regulation, but the bill’s structure. Market participants have warned that the proposed law “could kill Polish crypto business” because it imposes requirements far exceeding MiCA standards. One of the most disputed provisions was a “supervisory fee” of 0.4% of annual revenue, later reduced to 0.1%, though criticism persists.

President Naurocki previously called the bill a threat to “the freedoms of Poles, their property, and even state stability.” Donald Tusk’s cabinet, by contrast, accuses the president of obstructing reform and has launched an inquiry into his motives, hinting at possible geopolitical influences.

With the Polish market slowing and regulatory clarity absent, neighbouring countries have already begun attracting companies. Zondacrypto has opened an office in Estonia and applied for a licence, while Latvia is courting Polish platforms with streamlined procedures and favourable tax conditions.

If the bill is blocked again, Poland risks losing the largest digital-asset market in Eastern Europe, ceding leadership to neighbours now positioning themselves as key MiCA entry points on the continent.