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Despite Ukraine’s crypto-friendly stance, PrivatBank’s customers have been limited when it comes to trading cryptocurrencies with hryvnias from their accounts.
PrivatBank Ukraine’s largest commercial bank, has temporarily banned its customers from transferring hryvnias (the national currency) to cryptocurrency exchange platforms. This was reported by the media ForkLog UA on Thursday, citing a statement from the institution.
According to the report, PrivatBank confirmed the restriction noting that it is in accordance with an order issued by the National Bank of Ukraine on February 24, following Russia’s announcement of invasion. A spokesman for the bank told the media that the restrictive measures will be extended during the period of martial law. The press division of PrivatBank he said:
Banks are prohibited from making cross-border transfers of foreign currency currency is a medium of exchange that defines value. securities from Ukraine on behalf of customers. La posibilidad de transferir fondos de divisas para su uso en intercambios de criptomonedas no es una excepción.
Binance Warns of Measures to PrivatBank
The largest cryptocurrency exchange, Binance had also reported on the bank’s ban. The account an account is essentially a whose purpose is to track the financial activities of a specific asset/ of Facebook of the Ukrainian division of Binance publicó una entrada alerting users to the cryptocurrency restrictions of the PrivatBank .
“ We would like to inform you that PrivatBank will not accept transactions with [ hryvnias] UAH on all cryptocurrency cryptocurrencies are digital currencies that use cryptographic technologies to secure their operation. exchanges without exception as of March 2022 “, indicated the platform. The account also warned that this decision could spread a price difference between asking and selling prices of the asset. among other national banks, so it recommended its users to go to trade. peer-to-peer .
According to Cointelegraph The first reports on cryptocurrency-related restrictions of PrivatBank emerged in late February, with some users claiming that banks were blocking users’ accounts associated with P2P the decentralized interactions between parties in a distributed network, partitioning tasks or workloads between peers. cryptocurrency exchanges such as LocalBitcoins .
Our bank account connected to Localbitcoins was blocked. We can’t send funds to Ukraine.
— Danylo Kurliak Foundation (@D_K_Foundation) February 26, 2022
However, and despite recent reports, the founder of the Ukrainian exchange businesses that allow customers to trade cryptocurrencies for fiat money or other cryptocurrencies. of Kuna Michael Chobanian told the news media that the restricción del banco en cuestión no había afectado el comercio de criptomonedas en el país . He also indicated that the retreats with hryvnias in PrivatBank through the platform a place to buy, sell and store cryptocurrency Kuna were operating normally until Friday.
[The restriction] on cross-border transfers is understandable, but this has nothing to do with our market. Users can deposit and withdraw hryvnia to Kuna; everything will work.
“ Everything works as usual, no one has blocked anything, especially during the war. “he added in an interview with Cointelegraph .
The news comes at the same time as cryptocurrencies are legalized in Ukraine. As reported by DiarioBitcoin the president Volodymyr Zelensky firmó on Wednesday of this week a bill called the “ About virtual assets “which provides a legal framework for the country to enjoy a regulated regulation is when something is controlled by a specific set of rules. cryptocurrency market an area or arena, online or offline, in which commercial dealings are conducted. for the first time.
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- Bitcoin the biggest and most popular cryptocurrency in the world. It is a decentralized digital currency that enables users to make trustless peer-to-peer transactions. trading in Ukraine soars 300% as conflict with Russia escalates
Article by Hannah Estefania Perez / DiarioBitcoin
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