The Ukrainian cryptocurrency exchange Kuna issued the stablecoin UAX, pegged to the Ukrainian hryvnia in a 1: 1 ratio. UAX beta testing will last until March 20, 2020.
The new stablecoin was created on the basis of the Ethereum blockchain, so UAX will support the basic standards ERC-20 and ERC-865. The first UAX issue will be 1 million coins, and the first stage of the stablecoin introduction provides integration with market players, technical testing on decentralized financial platforms, as well as research in the framework of the “latest theory of economics”.
To link to the Ukrainian state currency, Kuna plans to introduce the Proof-of-Reserve audit method (proof of reserve), which is used by many large cryptocurrency exchanges, including the Kraken exchange. The Proof-of-Reserve scheme is designed to conduct an independent audit with cryptographic verification. This guarantees the availability of reserves of client funds in full.
The stablecoin will be publicly presented by the founder of the Kuna exchange, Mikhail Chobanyan, at the conference BlockchainUa 2020, which will be held in March. According to Chobanyan, Kuna will be the first exchange to issue a stablecoin tied to the hryvnia. The head of Kuna also mentioned a pilot project of the Central Bank of Ukraine on the issue of electronic hryvnia, which is still at the research and testing stage.
Regarding UAX regulation, Chobanyan stated that Kuna will use its own infrastructure for regulatory control until the relevant cryptocurrency regulation laws are enacted in the country. Recall that in November the Maltese division of the Binance exchange offered its assistance to the Ukrainian government to develop new rules to establish a more clear legal status of cryptocurrencies in the country.