Esta publicación científica en formato digital  
es continuidad de la revista impresa  
ISSN 0041-8811  
E-ISSN 2665-0428  
de la  
del Zulia  
Fundada en 1947  
por el Dr. Jesús Enrique Lossada  
y Arte  
Año 13 N° 38  
Septiembre - Diciembre 2022  
Tercera Época  
REVISTA DE LA UNIVERSIDAD DEL ZULIA. 3ª época. Año 13 N° 38, 2022  
Evgen Kharytonov et al./// Digital monetary system and social relations… 3-7  
Digital monetary system and social relations: legal realities and  
prospects of the implementation mechanism  
Evgen Kharytonov *  
Anatoliy Kostruba **  
Iryna Davydova ***  
This text offers a reflection on the legal aspects of the implementation of the digital money  
system in Ukraine and abroad. The authors also analyzed and modeled the directions of  
development of social relations arising from the use of digital money in various spheres of  
people's lives. In particular, the authors of the study identify the details of the impact of the  
digital monetary system in ensuring stability and the implementation of monetary policy in  
the financial sphere. Likewise, the potential impact of the use of digital money in the banking  
system is analyzed. The authors investigated the possibility of ensuring the transparency of  
transactions and control over the circulation of digital money, and proposed the appropriate  
legal mechanisms that must be implemented for the effective functioning of the digital money  
KEY WORDS: Legal regulation, economic policy, monetary policy, digital money, digital  
monetary system.  
Doctor of Legal Science, Professor, Head of Civil Law Department of National University  
Odesa Law Academy”, Odesa, Ukraine. Corresponding Member of National Academy of Law  
Doctor of Legal Science, Professor, Vilnius University (Vilnius, Lithuania).  
** Doctor of Legal Science, Professor, Professor of Civil LawDepartment of National University  
“Odesa Law Academy”, Odesa, Ukraine.  
REVISTA DE LA UNIVERSIDAD DEL ZULIA. 3ª época. Año 13 N° 38, 2022  
Evgen Kharytonov et al./// Digital monetary system and social relations… 3-7  
Sistema monetario digital y relaciones sociales: realidades jurídicas  
y perspectivas del mecanismo de implementación  
Este texto ofrece una reflexión sobre los aspectos legales de la implementación del sistema de  
dinero digital en Ucrania y en el extranjero. Los autores también analizaron y modelaron las  
direcciones de desarrollo de las relaciones sociales que surgen del uso del dinero digital en  
varias esferas de la vida de las personas. En particular, los autores del estudio identifican los  
detalles del impacto del sistema monetario digital para garantizar la estabilidad y la  
implementación de la política monetaria en la esfera financiera. Asimismo, se analiza el  
impacto potencial del uso del dinero digital en el sistema bancario. Los autores investigaron  
la posibilidad de garantizar la transparencia de las transacciones y el control sobre la  
circulación del dinero digital, y propusieron los mecanismos legales apropiados que deben  
implementarse para el funcionamiento efectivo del sistema de dinero digital.  
PALABRAS CLAVE: Regulación legal, política económica, política monetaria, dinero digital,  
sistema monetario digital.  
Digitalization plays an important role at the current stage of economic development  
in Ukraine and abroad. In the conditions of digitalization of the economy, transformations  
are taking place in all areas of human activity. One of these areas is financial one. In particular,  
there are significant changes associated with increasing the level of automation, openness  
and consumer orientation. With the development of digital currency, the issues of forming a  
digital monetary system and a single international digital currency are becoming increasingly  
relevant. Currently, the world of payments is changing at an accelerated pace. Users expect  
faster and easier payments anywhere, anytime (Barontini, & Holden, 2019). As for the  
technologization of the banking system, it is irreversible and is manifested in the use of digital  
technologies, channels, products, services, as well as in the creation of digital and online  
banks, resulting in new sources of information, data processing algorithms, evaluation and  
decision-making criteria.  
As defined by the International Monetary Fund, Central Bank Digital Currency  
CBDC) is a digital form of existing fiat money that is issued by a central bank and can  
function as legal tender (European Central Bank, 2020). The main difference of the CBDC  
from other types of electronic currency is that the issuer of the latter can be a bank and other  
REVISTA DE LA UNIVERSIDAD DEL ZULIA. 3ª época. Año 13 N° 38, 2022  
Evgen Kharytonov et al./// Digital monetary system and social relations… 3-7  
electronic money institutions (a company that has received from the regulator the right to  
issue and execute payment transactions with electronic money), which undertake  
obligations with their repayment.  
The main features of digital currency are as follows: existence in electronic form;  
stored in an electronic wallet installed on the user's device, which can be replenished in  
advance in order to be able to pay with digital currency where there is no Internet; the  
technological basis of digital currency can be: database, distributed ledger technology; digital  
currency is an electronic equivalent of existing currency; a unit of digital currency will be  
equal to a unit of the same currency in other forms (for example, one e-hryvnia will  
correspond to one cash hryvnia or hryvnia in non-cash form); only the central bank can issue  
digital currency; digital currency will be mandatory for accepting goods, services or works as  
payment (Trikur, 2021)  
The main difference between digital currency and non-cash means is the payment  
infrastructure. In particular, in the case of non-cash settlement, an interbank transfer takes  
place. At the same time, the situation is different with digital currency. So, when payment is  
made with its help, the funds from the buyer's digital wallet are immediately directed to the  
same digital wallet of the seller, without the burden of going through a financial institution  
Wright, 2019).  
As for the advantages of digital currencies, they are as follows:  
) Increased reliability. It is manifested in the fact that the Central Bank, as the issuer and  
custodian of the digital currency, will always be solvent and will not go bankrupt;  
) Cheapness of calculations. Eliminating intermediaries from payment transactions  
should have the effect of making them cheaper.  
Also, central banks have considerable advantages from the introduction of digital  
currency. In particular, thanks to digitalization, the emission of digital currency can be  
carried out faster than by influencing the money supply with the help of the discount rate or  
the purchase of government debt obligations. Also, digital currency is easier to account for,  
since there is no "anonymity", and therefore it can facilitate the fight against corruption and  
money laundering. A positive for banks is the possibility of programming digital currency  
for use in certain areas).  
So, as can be seen from the above analysis of the properties of digital currency, such a  
REVISTA DE LA UNIVERSIDAD DEL ZULIA. 3ª época. Año 13 N° 38, 2022  
Evgen Kharytonov et al./// Digital monetary system and social relations… 3-7  
currency is promising and can greatly facilitate both government regulation and control in  
the financial sphere, as well as people's lives and transaction security.  
A number of positive changes are expected from the implementation of the digital  
monetary system. Among them: the immediacy of calculations; lower tariffs compared to  
available means of payment; greater financial involvement.  
One of the tasks of the Central Bank of Ukraine is to improve the management and  
increase the transparency of finances, as well as to eliminate opportunities for money  
laundering and counterfeiting. Also, the digital currency will make it possible to index cash  
in logistically difficult conditions (island states, mountainous terrain).  
At the same time, the mechanism of the digital money system cannot function without  
a properly ensured mechanism of anonymity and cyber security. Yes, it is important to  
control digital transactions (in particular, through a centralized model) for complete  
security, transparency and guarantee of payments, and on the other hand, total digital  
tracking and stored history of every penny spent is not entirely appropriate. At the same time,  
cash almost guarantees anonymity, but at the same time, it is difficult to confirm the  
transaction in the event of a disputed situation.  
From the point of view of the end user, the main disadvantage of digital currency is  
the lack of anonymity, which can have negative consequences for individuals. Also, the  
spread of digital currencies may have the effect of entrusting central banks with  
uncharacteristic functions of working with citizens and problems in the work of commercial  
banks (SMART  infrastructure in the sustainable development of cities: world experience  
and prospects for Ukraine, 2021).  
So, it can be stated that the advantages of the digital money system are threatened by  
risks. Currently, most countries are only studying the possibility of introducing digital  
currencies and are thinking about legislative regulation, in particular, issues related to the  
identification of the user of digital currency, setting limits for calculations, financial  
monitoring, compliance with bank secrecy; defining the role of commercial banks, payment  
systems and other financial service providers in the digital currency ecosystem.  
As a result of the conducted research, the following conclusions were drawn:  
. The rapid development of technologies provides an opportunity to transform the  
payment system and make it more convenient for both the user and the state.  
REVISTA DE LA UNIVERSIDAD DEL ZULIA. 3ª época. Año 13 N° 38, 2022  
Evgen Kharytonov et al./// Digital monetary system and social relations… 3-7  
2. Central Bank Digital Currency (CBD) is a digital form of existing fiat money that is  
issued by a central bank and can function as legal tender.  
. The main difference between digital currency and non-cash funds is the payment  
infrastructure. In particular, with a cashless settlement, an interbank transfer takes  
place, while in the digital money system, the payment is made from the buyer's digital  
wallet and is immediately directed to the same digital wallet of the seller.  
. The advantages of digital currencies have a number of risks related to anonymity and  
cyber security, so currently most countries are only studying the possibility of  
introducing digital currencies and thinking about legislative regulation, in particular  
issues related to the identification of the user of digital currency, setting limits for  
settlements, financial monitoring, compliance with banking secrets; defining the role of  
commercial banks, payment systems and other financial service providers in the digital  
currency ecosystem.  
Barontini, C., & Holden, H. (2019). Proceeding with Caution  a Survey on Central Bank  
Digital Currency. BIS Papers. 101. In  
Trikur, M. (2021). Monedas digitales: matices de la regulación legal. Edición  
SMART  infrastructure in the sustainable development of cities: world experience and