A Ukrainian lawmaker, Andriy Odarchenko, is set to stand trial for allegedly attempting to bribe a government official with Bitcoin, marking a first in the country's fight against corruption. The National Anti-Corruption Bureau of Ukraine (NABU) announced the case on April 16th, sending it to the High Anti-Corruption Court (VAKS) for adjudication.

Odarchenko, a member of the ruling Servant of the People Party representing the Kharkiv Oblast constituency, faces accusations of offering a bribe to Mustafa Nayem, the head of the State Reconstruction Agency. The alleged incident occurred in August 2023, with NABU officials claiming that Odarchenko sought to influence the allocation of funds for repairs at Kharkiv State Biotechnology University.

According to investigators, Odarchenko, a former head of the university who reportedly maintains close ties with the institution, proposed an "illegal" Bitcoin payment to Nayem. This payment, valued at the equivalent of $50,000 at the time, was allegedly intended to secure Nayem's assistance in securing the aforementioned funds.

The case marks a significant development for Ukrainian anti-corruption efforts, being the first instance where cryptocurrency has been implicated in a bribery scheme. NABU's investigation revealed that Odarchenko not only proposed the crypto bribe but also reportedly transferred a portion of the promised amount – 0.39 Bitcoin, which equated to roughly $10,000 at the time.

The agency further detailed Odarchenko's alleged attempt to normalize the use of cryptocurrency, claiming he told Nayem, "I love crypto. Haven’t you ever used crypto? It’s great. I have my own [crypto] exchanges. Everywhere – in Lviv, Kharkiv, and Kyiv. Even in Spain."

NABU initiated its investigation after receiving information regarding suspicions surrounding Odarchenko in November 2023. The probe was completed in January 2024, and NABU expressed its hope for a swift resolution by the VAKS court.

This development comes amidst Ukraine's efforts to formulate cryptocurrency regulations inspired by the European Union's Markets in Crypto-Assets (MiCA) framework. The stance of the Ukrainian central bank, however, remains cautious, with First Deputy Governor Kateryna Rozhkova having declared cryptoassets "not money" in January 2024.

The Odarchenko case serves as a crucial test for Ukraine's legal system in handling cryptocurrency-related corruption. The outcome of the trial will be closely watched, not only for its potential impact on the defendant but also for the precedent it sets in regulating and prosecuting crypto-based financial crimes within the nation.