Bitcoin’s growing popularity in Ukraine is the result of the national currency crisis and government attempts to control the exchange of fiat currencies, as CoinFox reported earlier this week. 

 

We reached out to Michael Chobanian, the founder of the Bitcoin Embassy of Ukraine, to find out about the prospects of the digital currency in the country. Chobanian believes that bitcoin is currently the best way to bypass the restrictions imposed by the authorities:

“There is no legal and easy way to officially buy foreign currency and then pay for import contracts. For entrepreneurs ans SMB bitcoin is the solution.”

The volatility of bitcoin is not a problem for Ukranian users either:

“The fluctuation of bitcoin price is also irrelevant as the process of buying BTC for UAH and selling bitcoin for RMB takes minutes,” he said, commenting on the bitcoin trade between Ukraine and China.

He added that bitcoin makes it possible to lower demand for USD and EUR and thus helps to stabilize the local currency.

According to Chobanian, the crisis prompts people in Ukraine to look for new alternatives despite a general lack of awareness of cryptocurrencies.

“There is definitely a lack of knowledge of the technology. But current problems with the currency and the banking system push people to search for a solution. There is only one alternative – Bitcoin,” he said.