Ukraine’s central bank backs crypto legalization but rejects payment use

Ukrainian central bank governor Andriy Pyshnyy has voiced support for legalizing cryptocurrencies but stressed his firm opposition to their use as a means of payment, calling it a “red line” necessary to safeguard monetary policy and preserve the regulator’s effectiveness, Crypto News reported. Pyshnyy also revealed that the National Bank of Ukraine (NBU) is developing an e-hryvnia central bank digital currency (CBDC), with plans for a pilot project in partnership with a technology provider. The NBU is closely monitoring CBDC initiatives by other central banks and is collaborating with the European Central Bank, Bundesbank, Bank of Belgium, Bank of France and Bank of Singapore.