A 28-point peace plan floated by U.S. and Russian envoys would force Ukraine to cede large chunks of territory taken by Russia, cap the size of its military and lift sanctions on Moscow over time, acceding to many of President Vladimir Putin’s wartime demands.

Under the terms of the plan, the Ukrainian regions of Crimea, Luhansk and Donetsk would be “recognized as de facto Russian, including by the United States,” according to the proposal, a copy of which was seen by Bloomberg News. Ukraine would also be required to hold elections in 100 days and give up any hope of NATO membership.

Ukraine would receive a U.S. security guarantee — albeit one that Washington would be compensated for. The U.S. would also get 50 per cent of profits to rebuild and invest in Ukraine, and enter an economic p

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