The National Bank of Ukraine plans to introduce e-Hryvnia in Ukraine

The National Bank of Ukraine plans to introduce e-Hryvnia in Ukraine

What is e-Hryvnia?

E-Hryvnia is a digital form of Ukrainian currency that will become a direct liability of the Central Bank.

E-Hryvnia’s design shall ensure its efficient performance of all functions of money to complement cash and cashless forms of the national currency.

According to the Law of Ukraine “On Payment Services”, digital money of the National Bank is an electronic form of Ukrainian currency emitted by the NBU.

The concept of e-Hryvnia.

Within the represented concept of e-Hryvnia, the Regulator considers and processes such options of e-Hryvnia application, predetermining its design and main characteristics:

1) e-Hryvnia for small retail cashless payments, with a possible “programmed” money option: for targeted social support to reduce governmental expenses on administration and control the suitability of purposes of payments; as well as involving smart-contract technologies to program different settlement logics variants, depending on various circumstances or facts;

2) e-Hryvnia for spheres related to the flow of virtual assets (for instance, to exchange, secure issuing, and other transactions with virtual assets). E-Hryvnia could become one of the keys to the adequate development of the virtual assets market’s infrastructure in Ukraine;

3) e-Hryvnia for international payments to make international settlements faster, cheaper and more transparent.