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Crypto getting better attention with the new Ukrainian fiat exchange rule

Crypto getting better attention with the new Ukrainian fiat exchange rule 2

The central bank authority of Ukraine decided to take a new approach to bring better financial stability & trust for the sovereign fiat currency, Hryvnia. 

Before 2021, Ukraine was not much fond of the crypto & Blockchain industry but late February 2022 changed the whole game when Russian military invasions started in Ukraine. Against Russia, the whole crypto industry is supported through donations in crypto assets. 

The National Bank of Ukraine (NBU) has now devalued Hryvnia against the US dollar by 25%. With this exchange rate devaluation, the bank has also set new restrictions on banking operations. 

The changing of exchange rates of Hryvnia to US dollars and also imposing a limit on the exchange quantity, will result in conflict or interest among the citizens to go with the alternative finance industry. However, the new policies on the fiat-USD swap are temporary but overall they will indirectly put pressure on the citizens to go with crypto-associated transactions. 

Few experts in the Ukrainian crypto Industry said that new fiat rules will bring huge numbers of beneficial factors for the crypto Industry.

As per new rules, people are allowed to substitute the 50,000-hryvnia ceiling for withdrawals with a weekly limit of 12,500 ($340). And also person to person (P2P) Ukrainian-supported card payments have been reduced from 100,000 hryvnia to 30,000 hryvnia.

Surge in crypto interest due to Russia vs Ukraine conflict

The conflict between Russia & Ukraine started in late February of this year. Before the start of the war, both of these two countries were not much interested in crypto adoption but on one side Ukraine grabbed huge support from the crypto industry in the form of donations & funding, while on the other side international trade restrictions on Russia forced the Russian government agencies to bring new policies and laws for the crypto industry.

Even a few Russian government officials suggested the lawmakers bring policies to allow Bitcoin use in the international payment system, to settle the international government-backed deals. 

Read also: UK’ IAMTN Says Crypto & blockchain can provide efficiency in remittance services

Crypto getting better attention with the new Ukrainian fiat exchange rule






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