How it works in Ukraine
Yes, you can pay your team in Ukraine in stablecoins with Toku. Salary is set, withheld and paid in hryvnia as the Law on Remuneration of Labour requires, employees who opt in can then have their net pay, once paid, converted into USDC, and Toku confirms a stablecoin route for each contractor, since single-tax FOPs must be paid in money.
Paying employees
Article 23 of the Law on Remuneration of Labour requires wages in money that is legal tender in Ukraine, so the salary is paid in hryvnia first. Employees who opt in can then have their net pay, once paid, converted into USDC in a way Toku confirms for each person. (Source: Law of Ukraine On Remuneration of Labour, article 23)
Paying contractors
Contractors registered as single-tax FOPs in groups 1 to 3 must be paid in money, and the State Tax Service says they cannot receive income in cryptocurrency, so they are paid to their account and can convert afterwards. For contractors who are not FOPs, Toku confirms whether USDC or USDT settlement fits their arrangement before the first payment. (Sources: Tax Code of Ukraine, articles 164.4, 291.6, 293.3 and 298.2.3; State Tax Service: can a single-tax FOP receive income in cryptocurrency?)
Salary is set and taxed in local currency. Employees who opt in have their net pay, once paid, converted into USDC, and contractors are settled in USDC or USDT, where the local rules allow it. Toku handles the conversion, the compliance checks and the tax and payment reporting, and confirms the arrangement for each person before the first payment.
How Ukraine treats crypto and stablecoins
Crypto has no defined legal status in Ukraine yet. The National Bank says virtual assets cannot be treated as money, foreign currency, electronic money or securities, and the Law on Virtual Assets that would define them has not taken effect. (Sources: National Bank of Ukraine, Board decision No. 93-rsh (April 2, 2026); Verkhovna Rada: status of Law No. 2074-IX)
The National Bank of Ukraine said in April 2026 that the hryvnia is the only legal means of payment in Ukraine and that virtual assets cannot be treated as money, foreign currency, a currency value, electronic money, securities or a money surrogate. It recalled that Ukraine's financial regulators warned in 2017 that virtual assets are not legal tender. (Sources: National Bank of Ukraine, Board decision No. 93-rsh (April 2, 2026); National Bank of Ukraine: joint statement of financial regulators on the status of cryptocurrencies (November 30, 2017))
Under the Law on Currency and Currency Operations, the hryvnia is the sole legal means of payment and settlements in Ukraine are made only in hryvnia, subject to listed exceptions. (Source: Law of Ukraine No. 2473-VIII On Currency and Currency Operations, articles 5 and 13)
The Law on Virtual Assets (No. 2074-IX of February 17, 2022) is not in force. It takes effect only when a law amending the Tax Code on the taxation of virtual asset operations takes effect, and the National Bank confirmed on April 2, 2026 that this had not happened. Once in force, it says virtual assets are not a means of payment in Ukraine and cannot be exchanged for goods, works or services. It would have the securities regulator (NSSMC) regulate virtual assets and the National Bank regulate virtual assets backed by currency values. (Sources: Law of Ukraine No. 2074-IX On Virtual Assets (Verkhovna Rada); Verkhovna Rada: status of Law No. 2074-IX; National Bank of Ukraine, Board decision No. 93-rsh (April 2, 2026))
Local rules for paying employees in Ukraine
Wages of employees at enterprises in Ukraine must be paid in money that is legal tender in Ukraine, and paying them in any other form is prohibited. As an exception, a collective agreement may allow up to 30% of a month's wages to be paid in kind, in sectors where that is customary or desired. The sources cited here do not treat crypto as pay in kind. (Source: Law of Ukraine On Remuneration of Labour, article 23)
The martial-law labour law says wages are paid on the terms of the employment contract, but it does not mention crypto and does not change the rule on the form of pay. (Source: Law No. 2136-IX On the Organisation of Labour Relations under Martial Law, article 10)
Because Article 23 requires wages in legal tender and the National Bank says virtual assets are not money and the hryvnia is the only legal means of payment, the salary itself is paid in hryvnia and any USDC is the employee's choice for their net pay. Under the Tax Code, income valued in foreign currency is converted into hryvnia at the National Bank's rate for personal income tax. (Sources: Law of Ukraine On Remuneration of Labour, article 23; National Bank of Ukraine, Board decision No. 93-rsh (April 2, 2026); Tax Code of Ukraine, articles 164.4, 291.6, 293.3 and 298.2.3)
Local rules for paying contractors in Ukraine
Article 291.6 of the Tax Code requires single-tax payers in groups 1 to 3 to take payment for goods, works and services only in money: cash, non-cash or electronic money. Under article 298.2.3, a single-tax payer that uses any other method of settlement must switch to the Tax Code's other taxes from the first day of the month after the reporting period in which it did so. The State Tax Service's guidance says a single-tax FOP cannot receive income in cryptocurrency, because crypto has no defined legal status in Ukraine. (Sources: Tax Code of Ukraine, articles 164.4, 291.6, 293.3 and 298.2.3; State Tax Service: can a single-tax FOP receive income in cryptocurrency?)
For a contractor who is not a FOP, the sources cited here do not settle whether crypto can be accepted for services. The Law on Virtual Assets would bar exchanging virtual assets for services, but it is not in force. (Sources: Law of Ukraine No. 2074-IX On Virtual Assets (Verkhovna Rada); Verkhovna Rada: status of Law No. 2074-IX)
Currency rules also matter for money earned from abroad. The currency law lets the National Bank set a settlement deadline for exports and imports of goods, with export proceeds credited to the resident's account at a Ukrainian bank within it, and says that for services the period is counted from the date of the act or invoice. Under martial-law rules the National Bank's deadline for exports and imports of goods is 180 calendar days. (Sources: Law of Ukraine No. 2473-VIII On Currency and Currency Operations, articles 5 and 13; National Bank of Ukraine, Resolution No. 18 on the banking system during martial law, item 14-2)
Ways to pay people in Ukraine, compared
How the common ways to pay someone in Ukraine compare. The Toku row describes how Toku works; coverage and the arrangement for each person are confirmed before the first payment.
| Method | Employees | Contractors | What to keep on record |
|---|---|---|---|
| Local payroll and bank transfer in UAH | Salary paid in local currency, with tax and contributions withheld. No stablecoin option. | Paid in UAH or another fiat currency to a bank account. | Payslip or invoice, payment confirmation and any tax withheld. |
| Sending USDC or USDT yourself | Doesn't cover employees on its own: salary still has to be set, withheld and paid under local payroll rules. | You handle the payment, foreign-exchange, tax and reporting rules in Ukraine yourself, and some payment rules there may restrict it. | The UAH value on the payment date, the exchange rate used, wallet addresses and transaction hashes. |
| Toku | Salary set, withheld and paid in UAH through Toku's employer of record, with a USDC option for net pay arranged as described on this page. | Invoices in UAH (or USD where local invoicing rules allow it), settled in USDC or USDT where Toku confirms the route for that contractor, with approvals and payment records in one place. | Contracts, invoices, payment records and tax documents kept with each payment. |
Tax and reporting
The State Tax Service says an individual's income from selling cryptocurrency goes into annual taxable income: as foreign income if paid from abroad, or as other income if paid by a Ukrainian-resident individual. It is taxed on the money received, at 18% personal income tax plus a 5% military levy, and where no tax agent withholds, for example on income from abroad, the individual files an annual return and pays the tax. The same guidance says crypto currently has no defined legal status in Ukraine. (Source: State Tax Service: tax on income from cryptocurrency operations)
Under the Tax Code, income received as assets valued in foreign currency is converted into hryvnia at the National Bank's rate on the date of accrual or receipt. Third-group single-tax entrepreneurs pay a flat 3% of income if they pay VAT separately, or 5% if VAT is included. (Source: Tax Code of Ukraine, articles 164.4, 291.6, 293.3 and 298.2.3)
Recent changes
- September 3, 2025: The Verkhovna Rada adopted bill 10225-d, the Tax Code and other amendments regulating virtual assets, at first reading. The Law on Virtual Assets takes effect only once a Tax Code law like this one does. (Sources: Verkhovna Rada: bill No. 10225-d on virtual assets; Law of Ukraine No. 2074-IX On Virtual Assets (Verkhovna Rada))
- April 2, 2026: The National Bank restated that the hryvnia is the only legal means of payment, that virtual assets are not money, and that the Law on Virtual Assets is not yet in force. (Source: National Bank of Ukraine, Board decision No. 93-rsh (April 2, 2026))
- November 5, 2026: The securities regulator said the Rada's lead committee had recommended adopting bill 10225-d at second reading and as a whole, and that the bill follows the EU's MiCA model. (Source: NSSMC: support for adopting bill No. 10225-d (November 5, 2026))
What the official sources leave open
The official sources leave these points open. Where one affects a payment, Toku confirms how it is handled for each person before the first payment.
- Whether bill 10225-d has passed its second reading, and the tax rates, licensing dates and effective date it would set.
- Whether a contractor who is not a registered FOP may accept crypto from a foreign client for services.
- Whether the National Bank's 180-day settlement deadline, written for goods, applies to export of services, and how crypto received for exported services is treated.
- Whether tax is due when crypto is received as a fee but not yet sold. The State Tax Service's guidance only covers income from selling crypto.
- Whether crypto exchanges will have to report users' transactions to the tax authority, and when.
How Toku pays your team in Ukraine
Employees hired through Toku’s employer of record in Ukraine have their salary set, withheld and paid in local currency, with the USDC option for net pay arranged as described above through stablecoin payroll. Whether Toku can support a hire in Ukraine is confirmed before an offer. Contractors are paid through contractor management, which keeps invoices, approvals and USDC or USDT payment records together. Toku confirms the arrangement for each person before the first payment.
For the practical steps, see how to pay contractors in Ukraine. Compare costs on the pricing page and estimate transfer costs with the FX savings calculator.
Toku pioneered this approach: founded in 2020, it started with token payroll and is now an employer of record and global payroll provider in 100+ countries, paying teams in local currency or stablecoins. About Toku.
This guide is general information, not legal or tax advice. Rules on crypto, wages and foreign exchange change often and depend on the facts of each arrangement, so confirm your situation with a qualified local adviser before you pay anyone in crypto or stablecoins.