Polish lawmakers fail to override crypto bill veto

Polish lawmakers failed to secure the three-fifths majority needed to override President Karol Nawrocki's veto of crypto legislation. The Sejm voted 241-198 in favor of overriding the veto. Three lawmakers abstained. The measure needed 266 votes and fell 25 votes short. Nawrocki has vetoed crypto legislation three times. He argues that the proposed rules would overregulate the industry. The legislation would have established Poland's framework for applying the European Union's Markets in Crypto-Assets Regulation. It would also have placed crypto market oversight under the Polish Financial Supervision Authority. The authority said Poland still lacks a designated cryptoasset market supervisor. Nawrocki supports crypto regulation but says the proposed rules go too far. He cited regulatory costs and authorities' power to block websites. Prime Minister Donald Tusk cited an expanding criminal investigation to push for tighter crypto oversight. Tusk said a key witness alleged a payment arrangement involving 2 million Polish zloty. Tusk gave the reported amount as $550,000. The alleged arrangement involved a foundation linked to former Justice Minister Zbigniew Ziobro. Tusk also cited testimony alleging that an unnamed person promised to secure a presidential pardon if the witness was convicted. Polish prosecutors are investigating suspected fraud and money laundering connected to Zondacrypto. Prosecutors merged that case in July with an investigation into the 2022 disappearance of Sylwester Suszek. Suszek founded BitBay, which was later renamed Zondacrypto. Prosecutors estimated in April that losses linked to Zondacrypto were no less than 350 million Polish zlotys. Zondacrypto's operator, BB Trade Estonia, was declared bankrupt by an Estonian court in August. The first creditors' meeting was scheduled for Sept. 17.