Ukraine’s Electronic Currency Program Launched On Stellar

The pilot program will test the viability of the electronic hryvnia (Ukraine’s currency), which will be launched by TASCOMBANK and Bitt on the Stellar blockchain.

TASCOMBANK To Build Pilot e-Hryvnia

Both Bitt and TASCOMBANK are Ukraine’s oldest commercial banks. They will be in charge of launching the pilot program that will test run this digital currency on an open blockchain that provides asset control capabilities to issuers. The electronic hryvnia will be tested in different use cases like peer-to-peer payments, merchant payments, and programmable payroll for public employees at Diia, an IT solutions enterprise. The actual building and testing of the regulated e-hryvnia have been allocated to TASCOMBANK. 

The bank’s Chairman, Volodymyr Dubey, stated, 

“With the rapidly growing impact of virtual assets on our everyday life and economic landscape, it is essential to utilize the advantages of blockchain technology and new related products as a part of the bank’s long-term market strategy. Cooperation with Bitt to build on Stellar allows us to connect our core banking system with blockchain-based infrastructure, creating an ecosystem that includes a full range of banking products and operations with electronic currency on the Stellar blockchain.”

Pilot To Be Deployed On Bitt

On the other hand, Bitt’s Digital Currency Management System (DCMS) will be hosting it. The core monetary transaction network, secure minting system, and the operations manager of the DCMS give Bitt the legitimacy needed to deploy the pilot. 

CEO of Bitt, Brian Popelka, spoke on the pilot project and the partnership with Stellar and TASCOMBANK, 

“Bitt is excited to work with a leading blockchain network like Stellar to leverage its many benefits, including greater flexibility that aligns with the electronic hryvnia’s specific needs. Bitt’s DCMS will equip TASCOMBANK with all of the technology required to securely mint, store, issue, distribute, and redeem the electronic hryvnia.”

Stellar Network Facilitating e-Hryvnia Issuance

The Stellar platform provides a decentralized network for cross-currency transactions, digital assets issuance, and other monetary products designed to connect global financial infrastructure. The Stellar Development Foundation (SDF) is a non-profit that leverages Stellar’s underlying blockchain technology to provide more financial freedom and economic growth worldwide. 

CEO of SDF, Denelle Dixon, commented on the e-hryvnia project, stating, 

“Stellar is an open network that was designed with asset issuance in mind, and is uniquely suited to assets like the electronic hryvnia. It offers issuers, like TASCOMBANK, a suite of controls that they can configure for their asset control needs while maintaining the interoperability and flexibility of an open ledger. We are excited that TAS and Bitt have chosen the Stellar network for this ground-breaking pilot.”

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.