Poland’s lower house has failed to overturn President Karol Nawrocki’s veto of a bill that would have brought crypto firms under the supervision of the Polish Financial Supervision Authority, or KNF. The vote leaves the latest effort to build a domestic framework for the sector stalled.

Lawmakers voted 241 to 198 to override the veto, with three abstentions. That result was 25 votes short of the three-fifths majority required, as 266 votes were needed out of the 442 lawmakers present.

Override attempt misses required threshold

The Sejm needed a three-fifths majority to reverse the president’s decision, but the chamber did not reach that mark. Although supporters secured more votes than opponents, the final tally was not enough to push the bill forward.

As a result, the legislation cannot continue through the parliamentary process in its current form. The failed override blocks the latest version of a crypto bill that had already become the subject of a prolonged dispute between the government and the presidency.

What the bill was designed to do

The proposed law would have named the KNF as Poland’s crypto regulator. It was also intended to align the country’s rules with the European Union’s Markets in Crypto-Assets Regulation, better known as MiCA.

That alignment effort has been a central feature of the legislation. If adopted, the measure would have created the domestic oversight structure tied to Poland’s implementation of the EU framework for crypto-assets.

Why Nawrocki rejected the measure

President Nawrocki argued that the bill was too restrictive. He also said the government’s version failed to reflect 16 changes proposed by his office during the legislative process.

According to the objections cited around the veto, Nawrocki favored a separate proposal that would include stronger protections against fraud and financial crime while avoiding what he described as the same level of cost burden for legitimate companies.

A third setback in Poland’s MiCA dispute

The failed override marks Nawrocki’s third veto of legislation tied to Poland’s attempt to establish a national crypto framework. It extends an ongoing dispute over how the country should structure oversight of the sector while fitting its rules to MiCA.

For now, the immediate next step is clear: this version of the bill is blocked. Any further move would require a new proposal rather than continued work on the text that was just rejected.

Source: crypto.news