Ukrainians Offered New Crypto Services

Cryptocurrencies are growing in popularity in Ukraine and the people are also benefitting from an expanded range of crypto-related products and services. Along with newer options for buying and trading coins, Ukrainian crypto users will now also be offered two cards, enabling them to spend the digital currencies they own, both online and in stores. Wirex, crypto payment processor based in the United Kingdom, is now allowing residents of Ukraine to exchange and buy crypto on its platform. Currently, more than 20 cryptocurrencies are supported on the platform, which includes prominent coins, such as ETH and BTC, along with popular altcoins like DOGE. 

Crypto savings accounts will also be available to Ukrainians based on DeFi products. Compound interest of about 16% will be generated by these accounts on specific cryptocurrencies annually and Wirex said that the interest can also be credited in the form of the native WXT currency. Wirex is also planning on issuing its card to crypto holders in Ukraine, which will give them the ability of spending their coins on buying goods and services that are offered by local merchants, who don’t directly accept crypto payments. This would be made possible through instant conversions of crypto to hryvnia. 

A virtual card will also be provided to Ukrainians that can be used on Google Pay and Apple Pay. The rising popularity of digital currencies in Ukraine has made it a leader when it comes to adopting crypto. But, the authorities in Kyiv are working on regulating the crypto space in the country. Ruslan Kolodyazhny, the CTO of Wirex, said that the company had been planning on entering the Ukrainian market for a long time because it considers it a promising one. A license had been obtained by the British fintech firm from the Financial Conduct Authority (FCA) almost three years ago.

Since then, the company’s services have benefitted from increasing interest of consumers. More than 4 million people spread across 130 countries are now using its Visa cards and Mastercard. Ukrainians may also expect their domestic payment providers to introduce similar products. Monobank, the online banking platform in Ukraine, made an announcement last month about releasing their own crypto card. In fact, it complained that it had been awaiting approval from the National Bank of Ukraine for almost three months. Kirill Shevchenko, the head of the monetary authority, disclosed in October that commercial banks had approached the central bank for permission to issue cards that would be linked to crypto wallets.

However, he stressed that the concern of the regulator was regarding the risks involved with these transactions, along with some challenges associated with financial monitoring. Ukraine hasn’t yet completely regulated its crypto market. The long-awaited law titled ‘On Virtual Assets’ had been adopted by the Ukrainian parliament back in September when the bill had received approval from the lawmakers on the second and final reading. Last December, the legislation had passed their first reading, after which it had been revised and presented once more. But, in early October, further changes in the law had been requested by President Volodymyr Zelensky. 

Leave a Reply

Your email address will not be published. Required fields are marked *