Ukraine Bans Crypto Purchases With Local Currency

Ukraine, which has received millions in crypto donations since the Russian invasion, has stopped its citizens from buying cryptocurrencies with the national fiat currency, the hryvnia (UAH) in a bid to prevent “unproductive capital outflows.” According to a statement released yesterday, The National Bank of Ukraine (NBU) said citizens can now only buy cryptocurrencies using foreign currency up to a value of 100,000 Ukrainian hryvnia ($3,400) per month. The relevant limit also applies to international peer-to-peer transactions. The move comes as an effort to help stop capital flight, according to the central bank. Since the war began, the central bank found that $1.7 billion was transferred out of Ukrainian banks in March and $900 million in early April. Hence, the government wants to stop this and keep the hryvnia stable. But despite the move to prevent capital flight, the Ukrainian government is largely crypto-friendly. Last month, Ukrainian President Volodymyr Zelensky signed a law “On Virtual Assets” legalizing cryptocurrency assets in the country to help play a “vital role in Ukraine’s defense process.”The post Ukraine Bans Crypto Purchases With Local Currency first appeared on Cryptoknowmics-Crypto News and Media Platform.The post Ukraine Bans Crypto Purchases With Local Currency appeared first on Cryptoknowmics-Crypto News and Media Platform.