During a February 21 press conference, the National Bank of Ukraine (NBU) presents an outcome of the bank’s new crypto asset named e-hryvnia that has been very heavily promoted. Despite this, the central bank is not certain about how the new digital currency will impact the financial sector and its stability in the country.
According to a report by the National Bank of Ukraine, if a large part of the population of the country began using the new digital currency, traditional financial institutions will not be used as intermediaries for transactions. On the other hand, the release of e-hryvnia will not affect the natural inflation rate of the country’s currency, as the crypto asset will be developed by the National Bank of Ukraine.
Based on the central bank’s beliefs, the release of the digital currency will enhance the trust in the Ukrainian financial system. On the other hand, the circulation of physical money will also decrease, which can solve an issue that occurs in a number of countries. The pilot of the digital asset has been successful, however, the currency still needs more testing before entering the market.
There was also recently a new stable coin named UAX on the Kuna crypto asset exchange platform. UAX was introduced to the market on February 20 of this year and is based on the Ethereum system. The stable coin is currently being tested and will remain in this stage until the end of March of this year. Throughout the 2010s Ukraine has faced a number of issues regarding its financial stability and the UAX stable coin has appeared on the market to help with its stabilization. On the other hand, UAX will be compatible with other currencies based on the Ethereum network.
Coins based on Ethereum and the crypto coin itself have been gaining a lot of popularity recently. To get more information & details on Ethereum & its price, take a look at Ethereum Price updates as well as Ethereum Price Predictions.