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National Bank Of Ukraine To Launch E-Hryvnia Based On Blockchain

18:15 27/09/2018

The National Bank of Ukraine (NBU) plans to issue a digital hryvnia based on blockchain technology, the online resource Vesti informs.


According to experts, the national electronic currency will reduce the time of payment transactions, while providing more reliable protection of the customer's funds. State authorities will regulate the digital hryvnia, and it is planned to issue it centrally.


One of the main tasks of the new currency will be the reduction in the volume of cash funds since the issue of fiat requires quite a substantial amount of money from the state.


Alexei Kushch, an adviser to the head of the Association of Banks of Ukraine, believes that the plan to develop a digital analog of the national hryvnia has very encouraging prospects. With the help of blockchain technology, the funds will be stored simultaneously on the customer's bank account and the digital wallet. The user's money will have a higher protection level from cyber attacks and illegal withdrawal of funds from the account.


According to Kushch, another feature of the digital currency is a significant acceleration of the circulation of financial resources on the territory of the country.


The NBU representatives stressed that one e-hryvnia will equal one physical hryvnia. The digital analog can be used for payments at almost every Ukrainian enterprise, included in a single national system, using a PC or a smartphone.


As previously reported, the Deputy Minister of Finance of Ukraine stated that cryptocurrencies should be taxed at the legislative level.

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