Transformation of the banking system of Ukraine: electronic money and cryptocurrency

Abstract

The article explores the key aspects of the transformation of Ukraine’s banking system in the context of economic digitalization and the rapid development of financial technologies. The author emphasizes the emergence of new payment instruments — electronic money and cryptocurrencies — which are reshaping the traditional role of banks and creating new challenges for regulatory policy. The legal status of electronic money is analyzed, along with the operational features of cryptocurrencies, including their advantages and risks. Attention is given to international experience in regulating digital assets, which can be valuable for Ukraine as it adapts its banking system to new realities. The article highlights the importance of establishing a legislative framework and developing strategies for the implementation of central bank digital currencies (CBDCs). It also examines the prospects for coexistence between traditional banking institutions and decentralized financial instruments, and underlines the need to enhance digital literacy among the population. The article concludes with the necessity of deep modernization of the financial infrastructure to ensure the stability and competitiveness of the national banking system.