Ukraine has temporarily discontinued the usage of hryvnia, the country’s national currency, through banking cards for fiat deposits and withdrawals on crypto exchanges. Based on the development, Binance emphasised on the need for peer-to-peer (P2P) services during cryptocurrency-based transactions, as stated by Cointelegraph.
According to Cointelegraph, crypto exchanges such as Binance and Kuna officially informed investors on the issue. Michael Chobanian, founder, Kuna, a local crypto exchange, highlighted the service problem and is expected to clarify related issues. “Regarding the hryvnia card and input/output to the exchange. Yes, it doesn’t work … We are looking for ways out of the situation, under the threat of stopping the entire Ukrainian crypto/card UAH market [translation],” Chobanian said.
On the basis of information by Cointelegraph, Binance admitted the drawback around regulators quitting hryvnia’s usage on crypto exchanges. The crypto exchange stated that P2P facilities can enable users to exchange crypto and fiat currencies directly without the presence of banks.
Moreover, Cointelegraph noted that Ukraine’s anti-crypto position has come in as a shock, considering the country has clocked $70 million worth crypto donations since the beginning of Russia-Ukraine conflict. “If we used the traditional financial system, it was going to take days […] We were able to secure the purchase of vital items in no time at all via crypto, and what is amazing is that around 60% of suppliers were able to accept crypto, I didn’t expect this,” Alex Bornyakov, Ukrainian deputy digital minister, concluded.
(With insights from Cointelegraph)