Privatbank, Ukraine’s largest commercial bank by assets, has temporarily suspended customer transfers in hryvnia to digital asset exchanges. The bank said the measure took effect on March 16 and is tied to restrictions introduced by Ukraine’s central bank during the country’s wartime emergency.
Martial Law Banking Rules Behind the Move
According to the report, Privatbank linked the decision to a resolution issued by the National Bank of Ukraine on February 24, the day Russia launched its military invasion. While the document does not explicitly target crypto transactions, it establishes stricter controls for banking operations under martial law.
Those controls include a daily cash withdrawal cap of 100,000 hryvnia and a fixed exchange rate for the national currency. Privatbank said banks are barred from carrying out cross-border currency transfers from Ukraine on behalf of clients, and transfers intended for use on cryptocurrency exchanges fall under that restriction.
Binance Confirms Disruption to Hryvnia Deposits
Binance, the world’s largest crypto exchange by trading volume, also confirmed the impact of Privatbank’s decision on hryvnia deposits. The exchange warned users that other Ukrainian banks could introduce similar limitations and suggested that some customers consider peer-to-peer trading as an alternative route.
The development stands out because Ukraine has actively accepted crypto donations to support defense needs and humanitarian relief during the war. It also comes shortly after President Volodymyr Zelenskyy signed the country’s new law on virtual assets. That contrast highlights a complicated reality: even as Ukraine moves to formalize the legal status of digital assets, wartime financial controls are tightening access to bank-based fiat rails for crypto trading.
In the near term, the suspension may make it harder for local users to move funds from the traditional banking system into crypto markets, underscoring how financial stability measures can take precedence over market access during a national emergency.