Stellar Partners with the Government of Ukraine for CBDC Project

The former Soviet Union country, Ukraine has big plans for cryptocurrency and blockchain adoption. The government of Ukraine has partnered with the Stellar Development Foundation or SDF to work on the first-ever CBDC called the digital hryvnia. As a result of the project, more organizations like Bitt crypto and TASCOMBANK have also joined the initiative.

For making digital fiat available to the public, the government of Ukraine is partnering with the digital payment mobile application in Ukraine called the Diia. To make the project a success, the national banking association of Ukraine is working in tandem with the Ministry of Digital Transformation. Briefing the media on the matter, Deputy Minister of Digital Transformation for Ukraine recently claimed that the electrical money is going to help the economy enter into the next stage of innovation and progress.

For the most part, Central banking institutions have always been on the opposing side of digital assets. However, Stellar Development Foundation has been able to find more banks to help them transition into the blockchain industry. In addition to providing support for the CBDC project for the government of Ukraine, the open-sourced cryptocurrency project is also collaborating with the National Bank of Belize operating in Central America.

Another banking enterprise that sought the services of SDF is Eastern Caribbean Central Bank or ECCB. The ECCB is also looking for introducing a new CBDC under its jurisdiction in the near term. The main cause of the popularity of SDF among the centralized financial operators is the availability of a Digital Currency Management System or DCMS that allows the banks to test the implementation like a testnet environment before the main launch.

Denelle Dixon, the Executive Director and CEO of Stellar Development Foundation recently told media that the SDF allow specializes in the capability of issuing new digital currencies. She further added that banks like TASCOM chose the project due to the various tools that allow the monetary centers to control the issuance of digital currency.

Meanwhile, Volodymyr Dubey, chairperson of TASCOMBANK claimed that the addition of projects like Bitt allows the development of centralized digital currencies to connect with the existing monetary infrastructure of the banking institutions. He added that with Stellar, TASCOMBANK will be able to introduce a CBDC that is fully integrated with all the technical features of a centralized digital currency.