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Ukraine’s Capital Kiev May Soon Accept Bitcoin for Public Transport

Authorities at the Kiev City State Administration (KCSA) are reportedly re-examining the merits of adopting Bitcoin (BTC) payments in the city’s public transport system. The move is part of efforts to upgrade Kiev’s public transport infrastructure to meet up with the standards seen in other major cities across the globe.


Accepting Bitcoin on Kiev’s Public Transport System

According to iaftnews, the KCSA is going back to its previous plan of adopting BTC payment in the city’s public transportation network. Inside sources with knowledge of plan revealed:

The question has already been raised in 2018, but this idea had to be temporarily abandoned, given the cost of bitcoin at that time. Now, as you know, bitcoin has fallen heavily in price, which opens up new opportunities.

Back in August 2018, reports emerged that the KCSA planned to launch BTC payments for bus fares within the city. However, the plan failed to materialize but it appears that the city is trying a second time to implement the process.

The introduction of BTC payments in Kiev’s public transport system is part of the city’s drive to revamp its public transportation sector. In February 2019, the Kyiv Smart Cards – a prepaid card that provides access to all forms of public transport in the city went on sale.

Bitcoin payment for bus

Bitcoin as Part of Vision 2024

Kiev plans to make its entire public transport system utilizing only e-ticketing infrastructure by 2024. Like Dubai’s NOL card and Argentina’s SUBE travelcard, the Kyiv Smart Card can be used on the subway, buses, trams, route taxi, electric trains, etc.

Mega cities around the world are pivoting towards the system as a way of simplifying the process of commuting within a metropolis for locals and tourists alike. A

s reported by Bitcoinist, cities in Argentina already allow Bitcoin as a means of payment for topping up the credit balance on SUBE travelcards.

For KCSA officials, the hope is that the developments in e-ticketing made thus far will aid the BTC adoption process. There are also future plans to introduce a single Bitcoin ticket for all modes of public transportation in Kiev.

If approved, the move will significantly enhance the reputation of BTC and cryptocurrencies in Ukraine. In mid-2018, Ukraine’s securities chairman called for the legalization of many cryptocurrencies, saying the world has crossed the “point of no return” as concerning cryptos.

Do you think that Bitcoin is an efficient payment method for municipal public transportation system? Share your thoughts with us in the comments below.


Images via Shutterstock

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Ukraine Economy Bailout Presents Bitcoin Opportunity

Source: bitcoin

Ukraine Economy Bailout Presents Bitcoin Opportunity

For some countries around the world, times are very tough as local economies are starting to fall apart. Ukraine is one of those countries, as inflation will be hitting a record-high of 44 percent later this year. Combine that number with a near 25-percent inflation, and anyone can see why the Ukraine economy needs a bailout. At the same time, Ukraine’s central bank is warning people about the use of Bitcoin and other digital currencies.

Also read: Pirate Bay Co-Founder Attacks Music Industry With New Gadget

Ukraine Economy Collapses After Conflict With Russia

There are several factors to blame for the collapse of Ukraine’s economy, although the biggest culprit comes in the form of a conflict with Russia. On top of that, the Ukraine economy is plagued by capital controls, making it all but impossible to move funds in and out of the country altogether.

With inflation hitting a whopping 44 percent, the situation in Ukraine is more than dire right now. Prices for goods and services have been soaring due to the Hryvnia losing a fair share of its original value, and consumers are faced with less purchasing power. Considering Ukraine was already subject to nearly 25% inflation back in 2014, things have not improved at all over the past twelve months.

But it looks like help is on the way, as capital controls will be lifted gradually in the coming months. Thanks to bail-out cash from international lenders, the Ukraine economy will survive, and hopefully be able to reduce its inflation rate to 5 percent by the end of 2019. In total, US$9bn in rescue cash will be coming to the Ukraine economy in the near future.

As one would come to expect, that money has to come from somewhere. The International Monetary Fund (US$4.5bn), the European Union (US$1.5bn) and a loan guarantee from the US (US$1bn) are pooling together the necessary funds to give Ukraine’s economy  a chance to recover in the next few years.

Time For Plan Bitcoin?

Similar to most central banks all over the world, Ukraine’s central bank is not too keen on Bitcoin and other digital currencies. Just a few months ago, a warning was issued regarding the dangers of Bitcoin, and consumers were advised to steer away from this type of currency as it is not controlled or guaranteed by the central bank.

At the same time, residents of the country have been struggling to make ends meet for quite some time now. With tight capital controls in place, there are very little options at the disposal of Ukrainians who want to safeguard some of their wealth from further economical demise. Bitcoin provides them with that option, despite warnings by the central bank. Plus, a new Bitcoin exchange will be launching in the country very soon.

What are your thoughts on the economic situation in Ukraine? Will Bitcoin provide a solution to the turmoil? Let us know in the comments below!

Source: Telegraph UK

Images courtesy of Shutterstock, Russia-Insider, Your News Wire

The post Ukraine Economy Bailout Presents Bitcoin Opportunity appeared first on Bitcoinist.net.

Ukraine Economy Bailout Presents Bitcoin Opportunity

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