The alliance will help boost cryptography, as well as new technologies in the country
Binance, one of the world’s most important crypto exchange companies, has partnered with the Ukrainian government to evaluate regulatory issues on crypto assets; this as part of the country’s incursion in the development of alternative and innovative financial technologies.
The agreement between both parties indicates that it is a paradigm shift to the usual rules common in the current economy in Ukraine.
According to the official information of the treaty, the Ministry of Digital Transformation of Ukraine decided to use the MoU method (or Memorandum of Understanding) to seal ties with the Binance company. The text says that both parties will work in the search for a “potential legal status of virtual assets and currencies in the country”.
It is known that the Ministry that will work on said project was created recently in the month of September; it will not only have as a function the development of cryptographic and regulatory issues of digital currencies and their environment but also it will have the task to develop an online service which serves the Ukrainian Government in administrative matters, as well as the assembly of a digital platform for the management of trade and finance.
Ukraine is mainly interested in the technological change of its economic systems. This is the reason why it is currently evaluating possible changes and amendments to its laws and its financial processes. This puts the country among the new governments that have seen in the crypto industry a step towards the future of global finance.
The document suggests that both parties will start by creating a working group that will be in charge of researching the crypto industry. In the same vein, they will find the best ways of adoption for the country, as well as predicting changes in the global crypto industry to define a correct route plan for the economy of the country.
Besides, regarding blockchain technology, local press reports informed that they will use this technology for the transfer of rights and property licenses for digital currencies.
“Binance will also help develop transparent and effective mechanisms for the transfer of rights to any virtual assets or currency using blockchain technology, as well as beneficial conditions for investments and businesses in Ukraine”.
To continue with the development of this project, Binance said that next week there will be an important meeting between its managers and public authorities of the Ukrainian government in Kiev.
On the other hand, Changpeng Zhao, who is Binance’s CEO, referred to this alliance with the Ukrainian government, labeling it as positive for the industry.
“The legalization of cryptocurrencies and corresponding adoption of progressive legalization in this sphere can become one of the key drivers in stimulating positive growth in the Ukrainian economy, as well as attract additional investments to the country. We are honored to be part of the Ministry’s plans and hope that our global expertise will contribute to the most favorable formation and regulatory practices in Ukraine while meeting the needs of both the public and businesses”, Zhao said.
The cooperation between Binance and the Ukrainian government is in the process of creation and execution, after the signing of the agreement. Ukrainian parliamentarians and Binance executives hope the process to be a resounding success, which will also help improve technologies in the country.
By María Rodríguez