Yugocean
Valued Contributor
On Thursday, April 21, 2022, the National Bank of Ukraine (NBU) banned the purchase of crypto from the Ukrainian national currency hryvnia.
President Volodymyr Zelensky of Ukraine passed a law in March allowing for the operation of a regulated crypto market within a legal framework. However, PrivatBank, Ukraine's largest commercial bank at the time, prohibited its customers from purchasing BTC using UAH. As a medium, the central bank is imposing a similar restriction this time.
This step was made, according to the central bank, to prevent unproductive capital outflows caused by quasi-cash transactions. Due to Russia's onslaught and martial law, there is a greater risk of unproductive capital outflows as millions of Ukrainians flee the nation and use hryvnia to acquire cryptocurrency, and banks have been unable to absorb such wasteful withdrawals.
Individuals are allowed to purchase crypto using only foreign currency, with a limit of 100k Ukrainian hryvnia in value every month, in order to stay up with the regulated crypto market and Ukrainian situation. However, such restrictions have sparked outrage in both Ukraine and the international bitcoin community.
President Volodymyr Zelensky of Ukraine passed a law in March allowing for the operation of a regulated crypto market within a legal framework. However, PrivatBank, Ukraine's largest commercial bank at the time, prohibited its customers from purchasing BTC using UAH. As a medium, the central bank is imposing a similar restriction this time.
This step was made, according to the central bank, to prevent unproductive capital outflows caused by quasi-cash transactions. Due to Russia's onslaught and martial law, there is a greater risk of unproductive capital outflows as millions of Ukrainians flee the nation and use hryvnia to acquire cryptocurrency, and banks have been unable to absorb such wasteful withdrawals.
Individuals are allowed to purchase crypto using only foreign currency, with a limit of 100k Ukrainian hryvnia in value every month, in order to stay up with the regulated crypto market and Ukrainian situation. However, such restrictions have sparked outrage in both Ukraine and the international bitcoin community.
