The article considers the principles of the emergence of virtual assets (cryptocurrencies) and the impact on these events of economic, socio-political relations through technological features. The paper considers the influence of the Austrian School of Economics and its achievements on the emergence and development of modern virtual assets, namely they considered the impact on the choice of available currencies: 1) as the purchase of goods and services, 2) as a reserve for future needs; 3) as deferred payments; 4) as a unit of account. According to Hayek's theoretical framework, market forces will determine the relative values of different competing currencies. As a result, exchange rates between competing currencies will float freely. The ideas of scientists such as Hayek and Mises and the ideas of the Austrian school of economics formed the basis of such a political trend as cryptoanarchism. Cryptoanarchism can be described as the realization of cyberspace and the manifestation of anarchism, a philosophy whose main goal is to respect human freedoms in cyberspace, regardless of status. Keywords: bitcoin, cryptocurrency, virtual asset, cryptoanarchism, blockchain, Austrian school of economics.
Маргасова, В., Ружицький, I., Ткаленко, Н., Шестаковська, Т. · 5 authors
Abstract. The article describes the approaches to defining the essence of understanding «public finance» and «public finance management» in the context of administrative and financial decentralization. A study on the current state of economic development of Ukraine is carried and the public financial management system is analyzed. The dynamics of the ratio of revenues and expenditures of the State and local budgets is shown and the national and subnational levels in the financing of public expenditures are described. The sequence of achieving a new level of welfare of the population is presented and the ways of state influence on local economic development are outlined. The content of the state’s activity on financial resources management and public importance of finances is given. Particular attention is paid to the financial capacity of UTC and the existing positive developments within the decentralization reform in Ukraine. The need to improve the management of public finances was emphasized, as it was evidenced by the size of the budget deficit. The division of budget expenditures by functional classification between the national and subnational levels is presented and the decline of financial independence of subnational budgets is witnessed. An assessment of the level of confidence in financial asset management services of territorial communities based on the calculation of the relevant index is made, and the relationship between the selected indicators (the monetary expenditures of the population; deposits of individuals in investment funds; population savings; volume of capital investments; volume of investments in Ukraine; assets of investment funds) and the level of public confidence in the management of UTC financial assets is researched. Keywords: financial management, public finance, financial capacity of territorial communities, financial assets. JEL Classification H70, H89, R59, Q01 Formulas: 1; fig.: 5; tabl.: 3; bibl.: 20.
Abstract. A Ukrainian intellectual-expert community is at the initial stage of forming a methodological basis of the rural economy ontogenesis that is determined, first of all, by the ongoing decentralization reform, a new role of the rural economy from the national perspective of a new (both coronavirus and post-COVID) economic reality in ensuring food sovereignty, economic recovery of the economy, in general, and rural territorial communities, in particular, with regard to new challenges associated with the ageing of the rural community, de-population, predominance of the rural employment in the rural area and financivization of relationships within the rural economic agents, ultimately creating a new normality of the operation and development of the rural economy. Taking into account that Ukraine has strategically outlined its aspiration for integrating into the European Community having successfully passed a forming phase of group dynamics (according to Bruce Tuckman), has moved to a conflict phase having enlarged its orthodox understanding to the absence of proper parity in the development of socioeconomic, financial-institutional processes inside the rural economy, having created the threats to its transition to comprehensive digitalization and «greening» of finances applied for it. In the European Union, this problematics has been studied and an analysis of searches of directions of its solution has been carried out since the 50s of the past century actualizing the necessity to typologize best regional practices, their implementation from the perspective of the agrarian policy with regard to iteration of the Public Finance Management System Development Strategy, directions of the modernization of state support for agricultural goods producers, a gradual transition from a support institution to an assistance institution. To achieve the goal, which was defined as typologization of theoretical leverages and empirical inter-influences and inter-dependencies of the ontogenesis of the rural economy in the conditions of the implementation, by the European Community, of the UN 2030 Sustainable Development Goals as the basis for new strategying and financivization (including their «greening») of its development in our country, the methods were used: of induction and deduction, comparison and systematization — in researching the historiography of the notion «rural economy», penetrating it with a «financial» spirit and processes of «greening» financial-economic relationships of the economic agents of the rural economy; of synthesis and analysis — for characterization of financial support (assistance) of the rural economy with regard to modern approaches to the establishment and development of the Common Agricultural Policy in the EU member countries in order to implement a comprehensive regulatory European-colored movement towards digitalization and financivization including the post-COVID financial recovery of the rural economy, the formation of the basis for the financial central focus on local value added; of morphological analysis — for a new parametrization of the rural economy with regard to evolvement of the financial vector towards stimulating agro-producers for sustainable and comprehensive development; a graphical method — for vivid presentation of theoretical and methodical material; а abstract-logical method — for theoretical generalization and formulation of conclusions from the conducted research. Formed typologies of theoretical leverages of the rural economy enabled to clearly crystallize the parameters inherent to it only, in particular: goal-oriented collaboration of various economic activity types carried out within the rural territorial community in order to form local value added, ensure local food sovereignty and food security, create conditions for developing integrated corporate associations based on symbiomatics of the agrarian and construction economies; both enterprises (corporations, agro-food clusters) and individual entrepreneurs as well as households determining the operation of the food market and focusing the financial system on the respective genotype of economic agents involved in the rural economy, act as the entities of the rural economy; the compliance id provided, with the principle of sustainable and inclusive development, the «green» ontogenesis of the system of state support (assistance) of agro-producers; the orientation is substantiated, towards a new scaling of rural construction projects, social infrastructure including that involved in counteracting a coronavirus infection providing conditions for meeting the intellectual-staff needs of economic agents-stakeholders of the rural economy. Conducted generalization enabled to single out a number of modernization stages of the EU Common Agricultural Policy, in particular, in terms of mass-qualitative and mass-variable characteristics of financial support (assistance) of agro-producers as well as characterize the current central focus in their development on the rural economy institution expressed, in particular, through rural territories (rural territorial communities) in terms of promoting implementation of village-saving projects of rural development and solution to financial-economic, social and ecological problems of the rural area. A new European-colored parametrization of the rural economy has become a basis for formulating an own conceptual-categorical construct, in particular, the «rural economy» and its related financial-economic categories and notions as a system of the economic agents, whose activities being associated with the rural territory envisage using natural and other raw-material-climatic resources to meet the food needs of the community and perform financial-economic, social-food functions within the modelity of the operation of the national economy, with regard to the basic principles of sustainable and inclusive development, «greening» of state and local finances etc. The proposed definition relying on laid foundations in scientific studies of Ukrainian and foreign academic economists and actual parameters of development of rural territories, in particular, in respect of the mechanisms of financial support (assistance) in the EU member countries promotes further formation of the methodological basis for the harmonization of co-development of agrarian and financial policies in order to stabilize the rural economy, give it the signs of sustainability and European-formed financivization priorities. Keywords: rural economy, financivazation, state support (assistance), agriculture, rural territory, agrarian policy, state and local finances, natural-climatic resources, «green» finances. JEL Classіfіcatіon Q18 Formulas: 0; fig.: 2; tabl.: 0; bibl.: 20.
Abstract. The article describes the approaches to defining the essence of understanding «public finance» and «public finance management» in the context of administrative and financial decentralization. A study on the current state of economic development of Ukraine is carried and the public financial management system is analyzed. The dynamics of the ratio of revenues and expenditures of the State and local budgets is shown and the national and subnational levels in the financing of public expenditures are described. The sequence of achieving a new level of welfare of the population is presented and the ways of state influence on local economic development are outlined. The content of the state’s activity on financial resources management and public importance of finances is given. Particular attention is paid to the financial capacity of UTC and the existing positive developments within the decentralization reform in Ukraine. The need to improve the management of public finances was emphasized, as it was evidenced by the size of the budget deficit. The division of budget expenditures by functional classification between the national and subnational levels is presented and the decline of financial independence of subnational budgets is witnessed. An assessment of the level of confidence in financial asset management services of territorial communities based on the calculation of the relevant index is made, and the relationship between the selected indicators (the monetary expenditures of the population; deposits of individuals in investment funds; population savings; volume of capital investments; volume of investments in Ukraine; assets of investment funds) and the level of public confidence in the management of UTC financial assets is researched. Keywords: financial management, public finance, financial capacity of territorial communities, financial assets. JEL Classification H70, H89, R59, Q01 Formulas: 1; fig.: 5; tabl.: 3; bibl.: 20.
Наталя Трусова, Viktor P. Synchak, Любов Боровік, Serhii Kostornoi · 6 authors
The article deals with fiscal policy in the decentralized space of the financial system of Ukraine. The methodology of complex, systematic assessment of fiscal policy in the decentralized space of the financial system of the state is grounded. It is proved that effective methodological approach to assessing fiscal policy in the decentralized space of the financial system of the state is a vector auto regression (VAR), which provides dynamic correlation of time series with simultaneous determination of each exogenous and endogenous variable in the system, in case of fiscal impulses (shocks) in economy. The production-institutional function is used which, when adapting to the relationship between GDP and tax burden with specific statistics, changes the type of trend of tax revenue. A method for evaluating the effectiveness of financing targeted programs for decentralized territory has been developed. The dynamics of direct and indirect taxes to the state and local budgets are analyzed and the fiscal significance of VAT in GDP, the state budget and tax revenues of Ukraine is determined. The amount of tax debt and the state budget deficit has been estimated and the structure of tax benefits in terms of taxes and fees in Ukraine is presented. The projected values of real tax revenues per capita are substantiated and the forecast parameters of the level of subsidization of local budgets of decentralized territories are given.
Igor Lyukevich, Irina Gorbatenko, Elena Andreyevna Bessonova
Technical analysis is a popular tool for assessing financial assets. It has fairly well-established tools, namely indicators. In addition, modern financial market has expanded due to the new segment of cryptocurrency. The cryptocurrency market is both decentralized (by blockchain technology) and centralized (by cryptocurrency stock exchanges). It is highly heterogeneous as there is bitcoin, on the one hand, and numerous multifaceted altcoins and stablecoins, on the other. Its significant volatility allows one to use low leverage of margin trading, small lot amount, and low commissions. There is a boom in the growth of the number and volume of individual investments in modern financial market. At the same time, most of the research focuses on automated and algorithmic trading and is devoted to finding ways of using artificial intelligence to build trading strategies, which is suitable for professional traders only. The goal of the study was to substantiate the use of one of the well-known technical indicators for planning investment strategies by individual investors in the cryptocurrency market. The features of the cryptocurrency market have been identified for planning trading strategies to achieve the goal. False and reliable signals generated by the most popular oscillators in the cryptocurrency market, i.e. the MACD, Scochastic and RSI, were analyzed. The research was conducted using technical capabilities of the TradingView web platform. It was concluded that the MACD oscillator which is one of the most popular overbought / oversold indicators, does not work properly in the cryptocurrency market when it is necessary to determine historical lows or highs, since it is based on absolute price values. The Stochastic oscillator also does not work properly in this situation. The Stochastic gives false signals on short timeframes even though it is based on relative price values. The innovative nature of the results lies in the conclusion that the RSI oscillator is the most reliable for developing trading strategies based on historical highs and lows of oversold / overbought indicator. It 'absorbs' impulsivity by dividing absolute values of the averages of all positive candlesticks by the average of all negative candlesticks. Theoretical significance of the study lies in proving the hypothesis that the choice of technical indicators for creating trading strategies depends on the market segment. Its practical significance lies in finding a financial solution for an individual investor, namely, in justifying the procedure for individual investors to use a simple, understandable, technical indicator (RSI) available on all platforms in the cryptocurrency market.
The paper discusses the influence exerted by financial systems on the change of the financial sector and its further development. The study is relevant since there is need for building up more trust in blockchain. In the course of the research, the main trends of decentralized financial systems were identified and presented, including the problems related to decentralized financial systems and options for resolving them. The study is aimed at defining the problems and searching for ways to tackle them when regulating decentralized finances (DeFi) in order to ensure effective regulation on the part of the Central Bank and control risks. Rather than eliminating the need for regulation, DeFi, in fact, has to be regulated so as to achieve its main decentralization goal. In addition, DeFi presents a potential possibility for developing a fairly new regulation method: the idea of “integrated regulation”. The paper considers various approaches to regulation, which can be integrated in the DeFi design. It can potentially lead to the decentralization of both finance and its regulation, which eventually expresses RegTech (Regulatory Technology), which is used by financial organizations for being able to meet the requirements of the regulator more easily. The study defines the problems that are encountered in the course of using DeFi and points out the possible ways for dealing with them, including a way for switching to blockchain independently so that the transaction is not charged in ETH for calculation on blockchain; reducing the complexity and costs of use and understanding of DeFi software by most users. A whole lot of risks that decentralized financial protocols are susceptible to is analyzed: vulnerabilities in the code security of smart contracts, their stacking and layout; oracle risk, which is subject to manipulation in the process of data transfer; the financial risk of high volatility, regulatory risk and crisis of the global economy due to the inability to predict in which way the Covid-19 pandemic is going to be resolved.
The rapid development of blockchain allows us to refresh and update our technological approaches to the formation of business information. According to experts future blockchain ecosystems will form a different philosophy of organizing financial and management accounting. The aim of the study is to identify trends in the development of blockchain technology, forecast the consequences of its application in the accounting and information area of economic entities. Its methodology is based on the use of the following methods: analysis and synthesis, comparison, systemic and logical approach, the method of analogies and grouping. The paper provides an overview of studies of authoritative global platforms about the potential of using blockchain technology and distributed ledgers in the financial, economic, accounting and control spheres. The authors analyzed global initiatives for the development of blockchain technology which actively had being discussed in the world community. The essence and approaches to the definition of blockchain are shown, as well as the classification of blockchain systems types. The trends in the development of blockchain in the field of management activities and the potential possibilities of its application at certain stages of the accounting process are revealed. It is concluded that the use of a blockchain system is an effective platform for the information exchange between economic entities, ensuring its reliability, safety and transparency, forming an instrumental basis for the transactional accounting development. The study may be of interest to national regulators, investors and financial market participants, as well as international business and professional communities.
Peculiarities of territorial community (hromada) development management are revealed and theoretical approaches to budget decentralization in Ukraine are substantiated. Based on the analysis of the composition and structure of local budgets, as well as the calculation of financial independence of territorial communities (hromadas), it is proved that the current budget system of Ukraine is characterized by a high degree of budgetary resources centralization, which does not provide real independence. Building an efficient model of fiscal decentralization consists in determining the tax potential of a separate administrative-territorial unit (territorial community). For further success of decentralization, it is necessary to determine the optimal amount of government functions that are appropriate and cost-effective to delegate to the appropriate local level on a permanent basis, thereby converting them into the local government's own functions.Purpose of study. The aim of the study is to assess the impact of budget decentralization on the sustainable development of territorial communities (hromadas), to determine its relationship with changes in the administrative-territorial structure of Ukraine and to strengthen the financial independence of newly established institutions (amalgamated hromadas).Methodology. In the course of the research the following methods were used: analogy and comparative analysis to identify the features of the implementation of fiscal decentralization in different countries of the world and in Ukraine; settlement and constructive – used in determining the indicators of territorial communities' financial independence in the process of budget decentralization implementation in Ukraine; abstract-logical to reveal the main threats to the financial security of territorial communities and justify proposals and recommendations to ensure their sustainable development.Results of the study. The study showed the presence of certain features in the implementation of budget decentralization reform in Ukraine in modern conditions due to a number of macroeconomic and institutional factors with a long-term and globalization nature of manifestation. They led to the emergence of clearly defined trends and patterns of change in the choice of regional development financial instruments, which will further improve the process of development management of Ukrainian administrative-territorial units in terms of decentralization to achieve the priorities of socio-economic development.Peculiarities of territorial community development management are revealed and theoretical approaches to budget decentralization in Ukraine are substantiated. Based on the analysis of the local budget revenues composition and structure, as well as the calculation of the territorial community financial independence indicators, it was proved that the modern budget system of Ukraine is characterized by a high degree of centralization of budgetary resources.It has been substantiated that the difficulties arising in the financing of state budget expenditures under both unitary and federal systems are largely due to the imperfection or inconsistency of certain provisions of the Basic Law (the Constitution) with the current state of interstate relations and the domestic political situation.Conclusion. It is emphasized that the main problem to be solved to build an effective and efficient model of fiscal decentralization is to determine the tax potential of a particular administrative-territorial unit (territorial community) and the optimal volume of state functions that are expedient and cost-effective to delegate to the local level as own functions of local self-government.
Problem setting. An important condition for the financial security of any state is full control over the monetary system, which allows not only to perform tasks in the field of regulation of social processes, but also to predict their further development, to determine priorities. Legislation regulated such types of financial security as budget, tax, banking, monetary, currency, investment, debt and others. Legal relations within these areas of financial activity of the state are clear to its participants, they function in the material "physical" world and the state only corrects them by making changes and additions to existing legal norms and laws. The rapid development of information technology (digital revolution) has penetrated and continues to affect all spheres of society. In IT, there is a direction that works to improve financial technologies. The creation of a virtual currency or cryptocurrency, i.e. virtual money, can be considered a revolutionary discovery in the field of financial technologies. Money is the main component of the state's financial sovereignty, the basis of its existence. The monopoly on the issuance of money and control over its circulation has always belonged to the state represented by central banks and other financial regulators (Ministry of Finance). In essence, the state has an objective need to issue, control and supervise its currency (one of the features of the state in general is the collection of taxes, i.e. money in the form of taxes). Therefore, the issue of protecting financial security in the circulation of virtual currencies is important for any state. The purpose of the research is to analyze the legal regulation of virtual currency in the areas of banking, tax, budget activities of the state and activities related to combating and preventing money laundering. Analysis of resent researches and publications. The essence of such a new financial phenomenon as virtual currency, its functionality, types and principles of operation were studied in the works of domestic scientists M. Kucheryavenko, A. Kud, E. Smychok, A. Ovcharenko, O. Glushchenko, S. Khvalinsky and foreign - Fredrik Schneider, E. Gots. At the same time, there is a separate aspect of this problem – these are the challenges and threats that arise and tend to increase in the financial security of any state, namely - in the banking system, tax and budgetary relations, in the field of money laundering by criminal means. Articles main body. The emergence of a new virtual currency, money that is emerging, existing and disappearing forever in cyberspace - this is in the full sense of the word a new challenge to financial security. Legislatively regulating the circulation of virtual currency in detail is a difficult task, because the very algorithm of its operation, originally laid down by the founders - provides for the purpose of avoiding such regulation. The circulation and operation of virtual currency is based on mathematical schemes and formulas, which gives it stability to any state and centralized regulation. The main advantage of virtual currency is its anonymity. The personal data of the e-wallet owner is kept secret. Sometimes the transactions themselves contain such a complex and confusing pattern of movement, which generally disappears in cyberspace. The circulation of virtual currency is not controlled by the state. Does this pose a threat to the financial security of the state? Really, and serious. After all, an alternative currency and a payment system operating in cyberspace have been created, improved and are gaining momentum. Cryptocurrency becomes a competitor to the national currency of any state. Therefore, it should be noted that the state has grounds to interfere in the regulation of cryptocurrency circulation. What are the direct threats and risks from the existence of a virtual decentralized cryptocurrency system? These threats can be divided into areas of financial activity of the state and identify the most important of them. These are the banking sector, the monetary sphere, the tax and related budget sphere, the legal relations in the field of financial monitoring, the debt sphere. The introduction of digital currencies and blockchain technologies threatens to destroy the banking system in its traditional form. The fact is that virtual currencies and the blockchain allow any entity (physical and legal, etc.) to communicate economically directly, bypassing any intermediaries. And modern banks are such classic intermediaries, in addition to the monopoly type. Problems also arise in the field of tax evasion with the help of virtual currency. Such activity can be taxed only if one condition is met - if users of this network (real taxpayers) will be willing to declare and keep records of their transactions with virtual currencies. And will there be many such people? It is clear that the risks of tax evasion in the circulation of virtual currencies pose threats first in the tax sphere, destroying the state's ability to protect its economic interests, the ability to realize and develop the country's tax potential, and then create threats to budget security. Virtual currencies that can be exchanged for real money pose a threat of their illegal use for money laundering and terrorist financing. They may allow for anonymous transfers if the sender's and recipient's identities are not properly established. In this situation, there is no control body with which to track and detect suspicious transactions. Today, we can give examples of services designed to hide sources of virtual currency, transactions with them and complete anonymity. Yes, anonymizer means "dark networks" and "mixers", which are designed for these types of operations. Their types are the Tor network (anonymous network), Dark Wallet (anonymous network service), Bitcoin Laundry (mixer), Cold Storage, Hot Storage. Conclusions. The emergence of Fintech in information and telecommunication technologies, on the basis of which a system of virtual currencies and decentralized payment systems was developed and implemented, has created a number of serious threats and risks for the world. The main principle of the virtual currency is anonymity, which allows users to completely prevent government and financial control by the authorities, which is a very attractive prospect for many of them. Unregulated cryptocurrency market threatens the financial security of the state in the banking, tax, budgetary spheres and legal relations in the field of money laundering. The only way to counter these threats is to take full control and supervision of the decentralized system of virtual currency circulation. Unfortunately, the creation of an alternative centralized system of virtual currencies, which is subordinated to state and financial institutions, is not able to completely solve this problem.
Ю. Мохова, І. Драган, О. Козирєва, Н. Гавкалова · 5 authors
Abstract. The article examines the mechanisms of process financing informatization of administrative services. The purpose of the article is to determine the sources of funding and prospects for the provision of administrative services in terms of informatization of the public sector of Ukraine. Research methods are comparative analysis of analytical and official statistical data of Ukraine, institutes of international support on the basis of group classification of instruments of financing of Administrative Servics Center (ASC). It is proved that decentralization, development and improvement of the quality of administrative services determine the ASC as a priority area of reforming the system of administrative services in Ukraine. The legal bases of creation and maintenance of functioning of ASC, legal statuses of establishment, principles of process of rendering of administrative services in ASC are defined. The dynamics of the number of administrative service centers and regional features of functioning are analyzed. Sources of financing of ASC (the state budget, regional and city budgets, means of the State fund of regional development, the international projects of technical assistance) are allocated. It is proved that the most common and largest source of funding for informatization processes in the ASC is the state budget (subvention for infrastructure development). The authors propose a forecast model for the creation and development of administrative service centers in Ukraine under conditions of further state funding in appropriate volumes. The necessity of attracting external sources of financing (funds of international technical assistance projects, initiatives of international donors) in the conditions of limited and deficit of the state budget of Ukraine is substantiated. The necessity of modernization of ASC from the point of view of use of IT-technologies is substantiated. Priority areas for comprehensive reform of improving the quality of administrative services are identified: decentralization, simplification, deregulation, institutional capacity development and communication support. Keywords: financing, administrative services, informatization, public sector. JEL Classification D92 Formulas: 0; fig.: 4; tabl.: 1; bibl.: 13.
The formation of balanced budgets and increasing the financial potential of communities, a clear division of powers on the principle of subsidiarity, improving the efficiency of financial resources and stimulating community development have determined the relevance of Ukraine’s implementation of best practices in decentralization. The aim of the paper is to analyse the effectiveness of the decentralization process in Ukraine and assess the possibilities of financing the development of united territorial communities, identify the benefits of the Polish experience and determine the areas for their implementation in Ukraine. During the research, the methods of logical generalization and synthesis, comparative analysis, rating and integrated assessment of the financial capacity of the communities in Lviv region of Ukraine were used. Based on the study of foreign, in particular Polish, experience of decentralization, the key reasons for its insufficient effectiveness in Ukraine have been identified. The priority directions of the state policy are proposed and substantiated, and their implementation will allow to increase the efficiency of decentralization in Ukraine.
The aim of this paper is to present the manipulation possibilities in the operation of information technology. Many authors have already dealt with cryptocurrencies and their investment potential, with special emphasis on bitcoin. Therefore, the aim of this paper is to identify possible manipulative activities in the segment of information technology about bitcoin as a possible means of fraud in the financial market, especially if it is analysed the trend of its movement and potential financial risk. In this paper, the authors investigate in detail the characteristics of securities by linking them to market manipulations. The authors analyse bitcoin as a relative market and financial unknown, explain its origin and the most significant characteristics, and define the risks in terms of possible market manipulations. Finally, the authors analyse the financial bubble that is created around bitcoin and its impact on the economy. The authors analyse that bitcoin and other cryptocurrencies are still suitable for fraudulent activities in financial markets and emphasize the importance of institutions in reducing potential risks. Keywords: bitcoin, institutions, bubble
Relevance of the research topic. Research actuality is predefined by that question of process control of reforms and decentralization of power for the sake of providing of steady development of country the reformation of educational industry inalienably related to the process. Implementation of strategic tasks of reformation of the system of education, that will provide the increase of her quality and competitiveness, possibility of integration in European and world educational space, possible only on condition of sufficientness of financial resources for her functioning and development. Thus the problem of sufficientness of the financial providing of education remains actual on the modern stage of reformation of administrative-territorial device of country. Formulation of the problem.One of forms of financial participation of the state there is educational субвенція in providing of quality education. Educational subvention is money that is distinguished from the state budget after the special formula on financing of establishments of education. The operating mechanism of her extra charge uncan be considered optimal. As a result - the volume of educational subvention does not provide a requirement in facilities on the remuneration of labour of pedagogical workers in the field of universal middle education on a due levels. Analysis of recent research and publications. Modern aspects of solving the problems of decentralization and reforming the administrative-territorial system in the country are such scientists as Pavlyuk A. P., Oliynyk D. I., Batalov O. A., Datsko O. I., Murkovych L. L., Molodozhen Yu. B. etc. [1-4]. The results of our own research on the problem are given in [5-11]. Selection of unexplored parts of the general problem. As there is a problem of imperfection of determination of обстягів of educational субвенції the consequence of that are lacks of money for maintenance of universal middle education in united territorial communities (UTC) on a due levels, there is a decision problem of development of system mechanisms of management financing of education, as pre-conditions of grant of quality educational services and steady development of society. Problem statement, research goals. By the above-mentioned circumstances the predefined expediency of determination of ways of optimization of the system of calculation of volumes of educational subvention, that would allow to provide the sufficient level of financing of education in united territorial communities (UTC), as bases of steady development of the UTC. Method and methodology of research. In the process of conducting research, general scientific (analysis and synthesis, induction and deduction, analytical grouping) and special (abstraction, modeling, etc.) methods of studying economic phenomena and processes were used. Presentation of the main material (results of work). Undertaken a study of efficiency of distribution of educational subvention mechanism between local budgets comes true on the basis of formula that takes into account many indexes. On results 2018 such conformity to law is set: a difference between actual and calculation filled of classes in unit grows into the end of year in the 1 thousand hrn. of proficit/of deficit of educational subvention in a calculation on one student. Imperfection of formula of calculation of sizes of educational subvention is well-proven. It is set that substantial disproportions are, when in one local budgets of volumes of educational subvention sufficiently for the legislatively set remuneration of labour, while in other - raises diminish for of prestige of pedagogical labour, a management, replacement temporally of absent teachers, is not paid cabinets and workshops, a salary is not provided in good time, forced pedagogical are warned of reduction of raises in next months. To imperfection of operating mechanism of educational subvention data of the analysis of situation conducted by us testify in relation to financing of educational sphere in the Zaporizhzhya area. Conclusions. There was undertaken a study of level of financial sufficientness of educational subvention on the example of the Zaporizhzhya area and educed unefficiency of operating mechanism of financing of education in united territorial communities (UTC). It is set that as a result of making alteration to the Budgetary and Tax codes practical steps are done in direction of budgetary decentralization, substantial changes took place in interbudgetary relations and filling of local budgets due to the redistribution of sources of tax receivabless between the different levels of the system. But more detailed analysis of possible consequences of realization of some mechanisms specifies on that they restrain development of united territorial communities (UTC), create the threat of them to financial possibility and assist maintenance of inequality and disproportions in development of territories and do impossible providing of steady development to the country. Such uneffective mechanism is, on our there are ideas, operating mechanism of grant of educational subvention. It is well-proven that one of reasons, that results in the deficit of educational субвенції, next to the optimized not enough network of establishments and presence of schools/of classes with small filled, there is imperfection of formula of distribution of educational субвенції that does not take into account part of envisaged normatively-legal acts Ministry of Education and Science educational services in secondary education. Thus needs a revision volumes of educational subvention and perfection of formula of distribution.
The article analyzes the changes taking place in the investment market due to the emergence of innovative blockchain technology and cryptocurrencies, which are increasingly used as alternative investments in the management of a securities portfolio, along with traditional types of financial assets, such as money, bonds and shares. The methodological basis of the study is a dialectical approach that provides an understanding of the interdependence of technological changes and the rethinking of the role of fractional, decentralized, fluid assets with lower settlement risk, which are digital assets, in comparison with the traditional payment system in fiat currencies. The available current sample period of the cryptocurrency Index (CRIX) is too small to fully explore the investment opportunities of cryptocurrencies. In addition, the evaluation of cryptocurrencies is very different from the evaluation of traditional investment tools. There is also no clarity on the development of blockchain technology in the long term. At the same time, even today, the success of several cryptocurrencies (in particular, bitcoin) exerts competitive pressure on transaction methods from existing financial institutions [1], which determines the need for forecasting and analyzing price movements in the cryptocurrency markets. The article offers a sequence of actions for evaluating the profitability of investments on the example of bitcoin.
The article is devoted to the current state and prospects of further legislative regulation in Ukraine of the legal status of cryptocurrency (cryptoassets), primarily in terms of the need to clearly define its place in the system of objects of civil rights. The author emphasizes on the current uncertainty at the national and international level about the legal nature of cryptocurrency that causes gaps in the legal regulation of this phenomenon, which on the one hand allows its free and accelerated development, but on the other - creates significant legal risks for participants of the relevant legal relationships. Based on the comparative legal analysis of the approaches of different countries to the qualification of the legal essence of cryptocurrency, as well as the analysis of the Laws of Ukraine "On Prevention of Corruption", "On Prevention and Counteraction to Legalization (Laundering) of Proceeds from Crime, Financing Terrorism and Financing Spread of the Weapon of Mass Destruction”, the draft Law of Ukraine“ On Virtual Assets ”№3637 of 11.06.2020 adopted as a basis and prepared for the second reading by the Parliament and opinions of national regulators of financial market and securities market the author considers as a debatable approach of Ukrainian authorities to regulation circulation of virtual assets and, in particular, such their type as a cryptocurrency, as an intangible asset (other intangible goods). There is a contradiction of such a qualification in terms of traditional features of intangible assets (pronounced personal nature, the impossibility of the existence of such goods in isolation from the subject of law without his consent, lack of property and economic content) and the economic purpose of cryptocurrency as a mean of payment. In this regard, the author concludes that there should be an expediency of classifying this object of civil rights as a special (private) form of money, for which he proposes to carry out a more detailed civil law classification with a division into fiat (cash, non-cash, digital) and private (cryptocurrencies and electronic money).
Nataliіa Teslіuk, O. Zhulin, Iaroslava Nazarenko, Alexandra Kuimova
У статті проаналізовано фінансові інструменти на віртуальному ринку фінансових послуг. Визначено термін «криптоактив», відмінності між криптовалютою та електронними грошима, проаналізовано ринок криптовалют за рейтингом, наведено основні переваги та недоліки на сучасному етапі розвитку віртуального фінансового ринку. Ринок криптовалюти нестабільний, але постійно удосконалюється завдяки фінансовим інноваціям, що ускладнюють економічну природу цього явища. Цей вид віртуального активу прогресує і набуває правового статусу в певних країнах світу, політикою яких є створення інновацій як основного інструменту розвитку суспільства. Об’єкт дослідження – процес функціонування та розвитку криптовалюти на фінансовому ринку. Мета дослідження – аналіз функціонування криптовалют і перспективи подальшого їх розвитку на віртуальному ринку фінансових послуг. У ході дослідження визначено терміни «критоактиви» та «критовалюта» проаналізовано основні переваги та недоліки використання криптовалют. До основних позитивних аспектів відносяться: анонімність персональних даних власника електронного гаманця, відкрита історія трансакцій, криптовалюта може використовуватись не тільки як платіжний засіб, а і як інвестиційний інструмент. Основні негативні аспекти: значна волатильність, енергоємність, банкротство криптобірж, відсутність законодавчого регулювання, високий ризик хакерських атак та ін. Проаналізовано, що увага до криптовалют з боку інституційних інвесторів значно посилилася завдяки удосконаленню негативних факторів збоку розробників. Наразі мережа криптоматів та торгових точок розширюється, відомі платіжні системи приймають відомі криптовалюти для оплати товарів та послуг, деякі компаній приймають криптовалюту в якості платежу за свої товари та послуги. Висновки – розповсюдження та використання криптовалют вимагає чіткого регулювання, яке передбачатиме встановлення відповідної термінології та впровадження нормативної бази. Це призведе, у свою чергу, до збільшення довіри з боку користувачів, до кращого розуміння специфіки віртуального ринку та зменшення таких негативних явищ, як шахрайство та маніпуляції, банкротство критовалютних бірж, втрата грошей суб’єктами ринку.
The subject of the study is the processes of budget decentralization in the management of public finances, as well as mathematical methods and models for implementing the concept of hard budget restrictions in order to create conditions for the self-development of administrative-territorial units. The aim of the study is to develop adaptive economic and mathematical models for implementing the strategy of hard budget constraints implemented in the process of inter-budget regulation. The relevance of the study is due to the fact that currently the subject of acute discussion in the scientific community is the self-development of administrative-territorial entities and increasing their financial independence. In this regard, the focus of economic research is focused on the problems of budgetary decentralization as an engine of economic development, as well as the related topics of the use of mathematical tools for modeling decision support in this area. The created models are subject to the requirements of learnability, adaptability to changing conditions of environmental influences, and the ability to operate not only with quantitative, but also with qualitatively defined characteristics. The problem of mathematical modeling is solved by applying an interdisciplinary synthesis of the theories of stochastic automata operating in random environments and fuzzy logic. The proposed synthesis of theoretical and methodological devices is the novelty of the research. As a result , an economic and mathematical model of a fuzzy automaton is constructed for determining and quantifying the values of the norms for the distribution of tax revenues between budgets of different levels of the budget system. A fuzzy automaton interacts with a simulation model that reproduces budget flows and quantifies the decisions made by the automaton model. The practical significance of the research results lies in the program implementation of the developed models and their inclusion in the public finance management circuit. In the future , it is planned to create a mathematical model of the collective behavior of fuzzy automata models, the interaction of which solves the problem of coordinating the interests of budgets of different levels of the hierarchy in the distribution of tax revenues.
The emergence of “virtual currencies” is extremely recent, with a history of only 13 years. Being an ultra-new economic tool, it arouses interest and effervescent reactions, especially in terms of definition, but also about the cumulative effects it has begun to produce in the economic world. The subject also becomes controversial due to the fact that, being an economic instrument of absolute novelty, it is reflected in the legislation of very few countries in the world. One of the definitions determines as virtual currency – the digital representation of the value that is not issued or guaranteed by a central bank or a public authority, which is not necessarily linked to a legal currency and which does not have the legal status of the currency, but which can be accepted by natural or legal persons as a means of exchange and which may be transferred, stored and traded by electronic means. The evaluation of cryptocurrency publications has shown that most of them are related to attempts to establish legislative agricultural work for the operation of virtual currencies. The functions of the cryptocurrencies that we have defined are: the exchange and payment function, the hoarding function, the investment function and the attraction of funds necessary for the activity. Thus, we established that virtual currencies, as well as fiduciary ones, have the role of: means of payment, means of accumulation, means of capitalization and investments. Likewise, through this research we managed to highlight the main features and peculiarities of cryptocurrencies. Among the basic characteristics of cryptocurrencies we highlight: the high degree of security, maximum speed of transactions, full freedom from financial organizations, irreversibility of operations, full anonymity of transactions, open source, they can be ”mined”. Another approach was to determine the advantages and disadvantages and risks of using cryptocurrencies. The main advantages of using cryptocurrencies are related to its functions an caracteristics, such as: it represents a real alternative to classic banking services, market freedom, privacy of transactions, high speed of trnasactions, alternative payment methos, increasing the customer base etc. On the other hand there are some disatvantages. They are related mosly with the following risks: legal uncertainty, market volatility, low degree of acceptance, unsecured crypto wallets, risks related to use for illegal or criminal purposes, money laundering risks. Taking in consideration the global trend of the digitization of the society, the share and importance of fiat currencies will tend to decrease for the benefit of virtual currencies. Cryptocurrencies are becoming a real alternative to physical currencies, but its main disadvantage is that the public autorities are missing controlling it yet. Even so, in the nearest future the money could become digital figures.
Object: Object of the paper is to develop theoretical principles that reveal the content, functions and role of cryptocurrency as new, quite controversial means of settlements appeared in digital society. Cryptocurrency is studied as a secondary form of finance virtualization. The investigation is directed on cryptocurrency’s theoretical and practical aspects of functioning.Methods: The investigation used statistical and economic-mathematical methods to analyze the current trend of development in bank and non-bank payment systems. The authors collected data about legal status of cryptocurrencies, then the obtained data was analyzed according to its official status in developed and developing countries.Findings: It was found that the biggest non-bank electronic payment system PayPal, as a secondary form of virtualization manifestation it currently shows higher growth of rate than the biggest bank card payment system — VISA. The position of cryptocurrencies in National Legal Systems of developed and developing countries was collected and analyzed, according to its legal status. The possible risks and controversial questions of cryptocurrency’s influence on price stability, stability of payment and financial systems are determined.Conclusions: Emergence of cryptocurrency in modern society is the evidence of global digitalization. Virtualization in its primary and secondary manifestation form affects financial sector. Secondary form of virtualization results in non-bank sector development, namely non-bank electronic payment systems (e.g., PayPal) and non-institutional digital schemes of settlements (cryptocurrency). Developed countries are mostly more progressive in cryptocurrency regulation than developing countries. In the case of global cryptocurrency spreading wide there are some risks national economies may face. They include the problem of price stability, the stability of the financial system, the stability of payment systems. Generally, the authors substantiate the requirement for search of the complete definition of cryptocurrency that may be integrated into national legal system for further regulation and risks controlling.
Introduction. Today, in the conditions of the COVID-19 pandemic, a number of economic problems have arisen in the country, which can be prevented by improving revenue policy. As the revenue part is formed in the current conditions of the budget decentralization reforms, the risks arising during the pandemic have become an important challenge for the entire economic system of the state and each territorial community in particular. The purpose of the article is to highlight current issues of state regulation of the domestic economy related to global economic challenges and fiscal risk management caused by the COVID-19 pandemic. Results. The high dependence of budget revenues on tax and debt policies, the growth of their role in the economic downturn are analyzed. Emphasis is placed on the need and importance of developing tactics and strategies for budget and tax policies, as well as the possibility of their flexible change in the face of unpredictable economic downturns. The need for state revenue policy to take into account fiscal incentives and fiscal decentralization is indicated. Particular attention is paid to the opportunities and threats posed by the deepening of decentralization processes in Ukraine, emphasis is placed on the components of the financial capacity of local communities and the adequacy of financial resources. It was mentioned that the territorial redistribution of funds must take into account the requirements of the most rational allocation of productive forces, promote business, resolve conflicts that arise in the process of balancing budget revenues and constitutional social obligations. Processes of decentralization of budgetary and tax relations should be accompanied by strengthening of their social orientation. It is noted that the financial literacy of the population plays a significant role in reducing the level of emotional turmoil during economic downturns. At the same time, the study proposed a hypothesis for further research about the dependence of the effectiveness of decentralization policy on the use of modern approaches to financial management at the regional level, which require the implementation of innovative regulatory levers for change management. Conclusions. A number of conclusions and recommendations were formulated. In particular, it is proposed to implement a number of measures to identify and counter the risks of destabilization as a basis for ensuring the financial and economic security of the state. The need to further improvement of the institutional coordination of the application of regional regulatory fiscal instruments and mechanisms with national and international norms and rules was emphasized. It was noted that in the conditions of quarantine restrictions due to the COVID-19 pandemic, the implementation of a set of measures of tax and budget support for citizens, small and medium businesses should be carried out in accordance with a clearly defined and approved program. Keywords: fiscal policy, budget policy, consequences of COVID-19, decentralization, public finance, financial literacy.
The article reveals the essence of public finance as the main tool of the mechanism of regulating financial stability and achieving optimal efficiency of fulfillment of obligations in the process of providing public goods within the financial capacity of the state. After all, in the context of political and financial crises, the military situation in the east, the COVID-19 pandemic, the inadequacy of social development and economic transformation, the need to ФІНАНСИ, ГРОШІ І КРЕДИТ 124 Випуск IІ (82), 2021 study the effectiveness of such a regulatory mechanism is particularly acute. The main scientific approaches to the formation of public finance, which should be considered as a basis for purposeful public administration and is characterized by a set of measures to influence the socio-economic development of Ukraine. The factors influencing the amount of public finances and the ability of the state to perform its functions of financing various expenditures and development programs are studied. The main factors that caused the negative trends in the formation and use of public finances, as well as the shortage of public financial resources are identified. In order to study the decentralization direction of local self-government development and the participation of state support for regional development, the dynamics of the total amount of public finances as a source of financing capital investments of Chernivtsi region is analyzed. The task of determining the volume of participation of public finances in the financing of capital investments is realized by carrying out a structural analysis of the sources of financing of capital investments in the region. The main problems of public finances are considered and proposals are presented, the implementation of which will balance the market economy, correctly determine the amount of resources needed for the state, improve the efficiency of formation and use of budget funds, overcome corruption, reduce abuse in tax reporting by businesses, optimize social programs and benefits and have their financial support.