Ukraine is set to become the next state to explore the use of a central bank digital currency (CBDC) after its president signed a new bill into law.
President Volodymyr Zelensky signed the On Payment Services law, effectively enabling the central bank to begin work and introduce a digital currency.
The bill addresses the use of digital payment services in Ukraine as well as setting basic guidelines and directions for the National Bank of Ukraine (NBU) when choosing to create and test digital payments.
Zelensky's approval comes after the bill was voted through in the country's parliament, the Verkhovna Rada, and almost a year after he legalized gambling in the country.
However, the country's central bank has been looking into digital currencies since at least 2018.
In 2019, NBU introduced a basic version of what a Ukrainian CBDC would look like and shared its findings in a report. Ukraine is joining a growing list of countries that are exploring the use of CBDCs to strengthen and modernize their economies.
Digital currencies could complement the country's gambling and entertainment industry as well as other sectors of the economy.