Ukraine quietly leading digital currency revolution

Ukraine quietly leading digital currency revolution

Carnes RStreetInstitute is the director of communications and policy analysts, is the Washington free market research experts.

Ukrainian people sometimes say a quip: “I hope that you can only rely on official salary.” This is a common phenomenon of corruption in Ukraine in the reality of irony, but also a symbol of national character in Ukraine the characteristics of survivalism. In recent years, the “self development” lifestyle promotes a progress of science and technology.

Ukraine for the corruption situation in disappointment peaked in 2014, led to the Ukraine Pro EU demonstrations on Moscow Kremlin revolution and ally Victor Janukowitsch expelled. However, in addition to violent confrontation scene, the economic turmoil witnessed a digital revolution is quietly with “digital encryption currency” (such as bitcoin) form.

Based on the so-called “bitcoin blockchain” technology, is a kind of “centralized and decentralized” concept, and help ensure the security and anonymity of monetary and financial stability. Block chain is “centralized”, because it acts as the books, track digital transactions (for example, a supplier to online bitcoin), to ensure the validity of the transaction, such as bitcoin is really not your digital copy. But this book is “to the center”, because it is widely distributed and open to the public, does not allow any party or group control system. You can create a look that is open and transparent monetary system.

Ukraine bitcoin is full of passion, many citizens using the currency as a serious inflation and unstable Griff Na hedge, Griff Na has lost 80% of its value in the economic turmoil situation. In 2014, nearly 5000 BNK – 24 hours ATM terminal to provide cash to buy bitcoin options, like any other automated banking transactions as simple. Last year, a Ukraine sales service report said bitcoin bitcoin demand increased by five times, the country has become the first in the world to provide bitcoin futures market supervision.

But most notably, the Ukraine government tried to use this advanced technology of transparency of the auction of state assets. In 1991, when the Soviet Union, Ukraine has experienced a “no revolution”. Although the government looks more democratic, but its fundamental and inherent power structure remains the same, all change is only on the surface.

As Ukraine historian Dr. SerhyYekelchyk wrote in “Ukraine: the birth of” modern state as a book:

“Ukraine is the essence of the new elite of the Soviet bureaucracy, they came to the collapse of the empire is not the result of the democratic revolution, so I do not feel the need to develop democratic institutions or market economy.”

As the former party elite still keeps its power position make only superficial changes, the auction of state-owned assets to the private sector in a move that is profitable to immoral people. A small elite control auction process, may take advantage of the opportunity to state the ingrained oligarchs and help them to get money. Ukraine’s ousted president Victor Janukowitsch and former Prime Minister Yulia Timoshenko (due to the accumulation of wealth in the natural gas industry is called “gas Princess”) have been accused of court from such activities for profit.

Last July, one of the two – 2016 is particularly popular in Ukraine bitcoin meeting in a block chain related conference held in Odessa, the Minister of finance OleksandrDanylyuk program will be transferred to the auction auction from the paper system 3 “system block chain” based on the new, so as to ensure the transaction open and completely transparent. This is the National Bank of Ukraine plans to 2020 implementation of the “cashless economy” part of the project, the system is expected to achieve a series of additional benefits, including significant cost savings and operating system required the bureaucracy leaner.

Behind this digital currency of the mad pursuit of the there is an ironic story. Ukraine may be affected by the election of President Donald Trump selected changes in foreign policy after the country most affected. Trump not want to curry favor with Russia, but Russia’s military threat to Ukraine has led to a large extent the economic difficulties, this shows that Ukraine’s tough stance on American expectations. Ukraine has been the implementation of “west by” foreign policy (even in the Soviet Union under the policy, although in 1991) to achieve independence, but it is in before the end of 1990s has become the third largest recipient of U.S. foreign aid.

Therefore, even if the ideal ally of Ukraine United States is close to Russia has been trying to escape, but the name of Ukraine to transparency, open up a new road to worth us political learning.

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