The Ukrainian ministry is considering piloting a digital currency to pay employees

Mikhail Fedorov, Ukraine’s Deputy Prime Minister and head of the nation’s Ministry of Digital Transformation, has revealed a attainable early use case for a country-planned central financial institution digital currency (CBDC).

In a current interview revealed by the Ukrainian media firm TSN, the minister revealed the deliberations throughout the ministry to take a look at CBDCs with cryptocurrency when paying employees:

“To be honest, we are one of the first pilots to ask the question of paying the employees of the digital transformation department in electronic hryvnia.”

Fedorov made these remarks, arguing that the preliminary implementation of e-hryvnia targeted on a small, managed use case and was not used for social funds. According to Fedorov, there is a want to evaluation CBDCs to stop improper use, so he requires worker pay as a attainable pilot program for a nationwide digital currency.

As Cointelegraph beforehand reported, the Ukrainian central financial institution obtained approval to difficulty digital currencies after the nation’s legislature handed a new cost providers regulation.

The National Bank of Ukraine has been engaged on creating and issuing a digital currency for a number of years. The Department of Digital Transformation is additionally closely concerned within the CBDC house in partnership with the Stellar Development Fund to develop a frequent technique for CBDCs and digital property basically.

Related: An official says new regulation in Ukraine will enable funds in cryptocurrency

Using CBDC to pay authorities employees is usually one of many pilot implementation strategies for nationwide digital currency initiatives.

In truth, of the few sovereign digital currencies already in circulation, a number of initiatives have chosen to pay public sector employees within the CBDC.

China, one of many main international locations within the CBDC sector, launched a blockchain-based system for wage funds in digital yuan again in June.