Ukraine chooses Stellar for the development of its CBDC

Ukraine chooses Stellar for the development of its CBDC
фото показано с : invezz.com

2021-1-4 22:08

Ukraine’s Ministry of Digital Transformation has signed an MoU with the Stellar Development Foundation (SDF) to use the Stellar Network in the development of the country’s CBDC. A press release unveiled this news on January 4, noting that the two parties made this deal on December 28, 2020. Per the agreement, this partnership also seeks to cement Ukraine’s position as an innovative digital country in Eastern Europe’s financial market.

Per the news release, this partnership will become active this month, and it has four objectives. These are developing a virtual assets market in Ukraine, underpinning crypto-related projects, facilitating the implementation and regulation of stablecoins, and enabling the development of the digital currency of the Central Bank of Ukraine. 

According to Oleksandr Bornyakov, Ukraine’s Deputy Minister of Digital Transformation for IT Development, 

“We believe our cooperation with the Stellar Development Foundation will contribute to development of the virtual asset industry and its integration into the global financial ecosystem.” 

Bornyakov acknowledged that leading countries across the globe are in the process of creating digital currencies. He added that Ukraine has been researching the feasibility of implementing a CBDC since 2017 and that this collaboration will be the spine for the country’s CBDC development. 

A significant expansion to the Stellar ecosystem

Commenting on this partnership, Denelle Dixon, SDF’s CEO and Executive Director, said that the organisation believes digital assets, including CBDCs, are among the most important innovations to date. This partnership reveals the nation’s dedication to creating a friendly environment for digital asset innovation.

By working with the Ministry of Digital Transformation to digitise the hryvnia, Dixon believes that SDF will get an opportunity to offer Ukrainians access to Stellar-based tools and services. In turn, businesses in the Stellar ecosystem will benefit from new partnership opportunities in the country.

Stellar project continues to get more recognition and adoption. Apart from Ukraine’s decision to integrate Stellar, Germany’s Bankhaus von der Heydt (BVDH) announced that it had joined hands with Bitbond, a tokenisation and crypto custody firm, to launch the direct issuance of a euro-backed stablecoin on the Stellar.

The post Ukraine chooses Stellar for the development of its CBDC appeared first on Invezz.

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Источник: invezz.com

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