The main mechanisms for regulating decentralization processes in Ukraine are studied, including: e-government and digitalization, grant financing and project management, intermunicipal cooperation and cluster development, development of civil society institutions, training and advanced training of business entities, including in the skills of implementing digital technologies in business practice, monitoring and assessing the effectiveness of decentralization through the use of digital marketing tools. It is emphasized that decentralization processes have significant potential for ensuring the effectiveness of regulating the innovative development of the agrarian sector of the economy of Ukraine. However, to achieve success, it is necessary to ensure effective local governance, active community participation and favorable conditions for the development of agricultural business.
Abstract. The article is devoted to the analysis of global experience in the taxation of cryptocurrencies and the development of effective tax administration mechanisms. The object of the research is the taxation mechanism of the countries of the world that have legalized cryptocurrency. The purpose of the work is to study and analyze the global experience of cryptocurrency taxation and the possibility of introducing effective tax administration mechanisms in Ukraine. The research method is a theoretical and analytical substantiation of the functioning of the cryptocurrency market in certain countries and their taxation mechanisms. The need to develop efficient and effective tax administration mechanisms and ensure the stability of tax legislation is an objective prerequisite for ensuring the transparency and fairness of taxation of cryptocurrencies. The scientific article examines the peculiarities of the global experience of taxation of cryptocurrencies, which play a significant role in the processes of international movement of capital, forming relevant financial flows, and contributing to the capitalization of resources. The issues of taxation of cryptocurrencies are relevant on the path of the country's integration into the world community, insufficiently considered in modern conditions and requiring in-depth research and improvement. In the course of the study, the experience of cryptocurrency taxation in certain countries was summarized and the opportunities opened up due to the introduction of various cryptocurrency taxation tools were highlighted. The issue of developing effective tax administration mechanisms in order to ensure the effectiveness of cryptocurrency taxation and the growth of budget revenues remains unresolved and relevant today. Conclusions – the development of effective tax administration mechanisms is an important task to ensure the transparency and fairness of cryptocurrency taxation. This may include the development of clear taxation rules, the creation of monitoring and reporting systems to track cryptocurrency transactions, as well as cooperation with international partners to address transitional aspects and harmonize tax policies. Keywords: cryptocurrency, taxation, financial market, cryptocurrency market, income tax, capital gains tax, mechanisms of tax administration.
This study examines the impact of using distributed ledger technology. The use of this technology is characterized as an opportunity to maximize economic efficiency. This determines the use of blockchain technology in various fields. The conclusion is made about the expediency of using this technology in financial systems, which will have a positive impact on the perception of the services provided by the consumer and on reducing the operating costs of commercial organizations.
The modernization of technological systems has transformed the financial transactions industry and provided the opportunity to create cryptocurrencies. This article examines the essence of cryptocurrency, its specifics and characteristics, and identifies the positive and negative qualities of this category of means of payment. The purpose of the study is a comprehensive analysis of the directions of development of the cryptocurrency market. The relevance of the presented work is ensured by the rapidly increasing interest of investors in decentralized finance, their popularization, the growth of capitalization and the introduction of regulatory regulation of the cryptocurrency market by government agencies from various countries of the world.
Abstract The rise of mobile Internet has not only changed the business model of many enterprises, but also had a profound impact on the financial management model of enterprises. Based on this, this paper applies blockchain technology to enterprise financial management, using decision trees and information entropy alignment to optimize and promote its digital transformation. Regarding optimizing financial management processes, blockchain technology converts the enterprise’s financial management data into a distributed ledger. It integrates it with information entropy to create a digital financial data decision tree. This paper takes enterprise A as the research object, after optimizing the financial management process with blockchain technology, enterprise A’s financing ability is enhanced, and the current ratio as a whole maintains an upward state, reaching a maximum value of 0.86 in 2021, and then it has been maintained at about 0.8, indicating that the optimized short-term solvency capacity has been significantly improved. The total debt amount of enterprises is decreasing yearly, falling to 35.26 billion yuan in 2023. The amount of owners’ equity has shown an upward trend and has remained at a high level of 25 billion yuan since 2021. Therefore, blockchain technology strengthens the financial management capabilities of enterprises and explores a feasible path to reduce investment risks.
Natalya V. Falina, Elizaveta V. Zolotonog, Sofia S. Sadakova
This article examines the importance of using cryptocurrency and its assets in the global financial system. Cryptocurrency is a financial asset that was created in an online format, which means that this asset can only be used when transferring funds through digital platforms. The disadvantage of such assets is that the cryptocurrency market is at a development stage, which contributes to its insignificant use due to distrust in online currency and increased risk when investing cryptocurrency in business or other transactions, since it is impossible to track the transaction and return the spent assets. The influence of cryptocurrency in the global system is positive in cases where it is necessary to make payment transactions to another country, because it reduces payment time, eliminates the need to convert currency, reduces costs and commission payments. In addition, cryptocurrency can be used not only as payment for contracts and payments, but also as a means of investing in charity.
The system of social protection of the population serves as an indicator of the stable development of society. Therefore, in the context of decentralization reform, local authorities have acquired powers to provide social protection and have become direct providers of social services to ensure that citizens (community residents) have an adequate level of social protection in accordance with established norms and standards. The scientific publication provides a general theoretical analysis of the concept of "decentralization" and its characteristic features. It is emphasized that ensuring an adequate level of social protection for the population remains a priority for Ukraine, especially as the number of people in need of such protection is only increasing due to the ongoing war. It is noted that the centralized model of social protection involves the provision of social services through intermediary structures, while the decentralized model involves direct financing of social services, where, in the process of decentralization of budgetary powers, part of the state's functions for providing social protection is transferred to territorial communities. The conclusion is made that the Law of Ukraine "On Social Services" is a reformist law aimed at improving the system of providing social services, taking into account the real needs of community residents. Some aspects of the organization and provision of activities of the territorial community in the areas of social protection of the population and child protection are highlighted.
Every year, cryptocurrency is slowly but surely conquering the whole world. Thanks to this trend, its acceptance is increasing, and more and more options for its application are appearing. Large global companies are showing interest in blockchain and cryptocurrency, investing in them. It is quite obvious that these events will contribute to the rapid expansion of the market. Crypto assets continue to gain popularity and their adoption has become something more important and real. The number of stores accepting cryptocurrency as a payment method is increasing, crypto assets are being used as a form of fundraising, and you can even travel the world with cryptocurrency. In addition, the expansion of the use of cryptocurrency in world markets is explained by the rapidly growing interest in it on the part of the population of various countries of the world in the desire to earn or at least protect their income from the devaluation of national currencies. A direct analysis of the current rules of cryptocurrency taxation in foreign countries showed the existence of a number of differences in the implementation of tax regulation of transactions with cryptocurrency, because different approaches to the definition of cryptocurrency in foreign countries cause different methods of its taxation. That is, the fiscal policy regarding taxes on cryptocurrency in the countries of the world depends on how their legislation interprets the concept of virtual money: in the USA it is property, in Britain it is a capital asset, Italy considers it as a foreign currency. In Malta, El Salvador, Malaysia and Singapore, cryptocurrency taxation is absent or can be avoided if certain conditions are met. The global cryptocurrency market is at the stage of formation, therefore the regulatory and legal framework in various countries of the world is actively developing, adapting to the rapidly changing reality. Gradually, the cryptocurrency receives a final determination of its status with the further development of effective mechanisms of tax administration to ensure transparency and fairness of taxation, that is, the creation of tax legislation in this area.
In this study, we analyse if changes in the US dollar index (USDX) have a volatility and asymmetric effect on stock and cryptocurrency market returns in light of the Russia-Ukraine war. We estimate an asymmetric dynamic conditional correlation model (ADCC) that shows the short-term and long-term volatility persistence and asymmetric effect for ten leading cryptocurrencies and stock markets. Except for XRP, ADA, USA and Japan, all other cryptocurrencies and stock markets exhibit significantly higher volatility spillover from USDX. The result also indicates instability in USDX has a significant asymmetric effect in seven cryptocurrencies and four stock markets. A salient contribution concerns the suggestions for policymakers to monitor the cross-market shock, volatility spillover and asymmetric effect, which will assist them in making the cryptocurrencies and stocks more immune to the shock from USDX in times of turmoil.
The study conducted in this article is devoted to the consideration of topical issues of Ukraine’s achievement of energy decentralization in order to protect the national energy system from crisis processes in wartime, to increase its resilience by developing distributed generation at the local level. The analysis was carried out by comparing with similar local entities in Poland (gmina and poviat) based on the assessment of existing and potential energy sources, as well as the calculation of the energy balance of the territory. The implementation of an effective energy transition project in the city of Ostrów Wielkopolski (operation of low-emission public transport running on local energy obtained through local energy cogeneration) was considered. Based on the results obtained, recommendations are made to similar local communities in Ukraine on the organization of project management, attraction of financial instruments for such a transition, taking into account organizational and regulatory risks. As a practical tool, proposals are made for the organization and creation of a revolving fund as a financial instrument that can partially cover local needs for financing projects aimed at reducing energy poverty in communities, as well as a model for organizing an energy production cooperative for generating electricity using a solar power plant, and an algorithm for project work in communities for the development and implementation of energy decentralization projects.
The aim of the article is to assess the current state and determine the prospects for financial provision for sustainable development of territorial communities of Ukraine in the context of decentralization for the medium-term period of post-war recovery. The article generalizes the legislative grounds for Ukraine’s provision of the Sustainable Development Goals and the need to take them into account in the development of forecast documents; an analysis of the composition and structure of local budget revenues, their share in consolidated budget revenues and GDP for 2019–2023 is carried out; on the basis of expert assessments, the influence of formal rules on the formation of revenues of local budgets, in particular tax ones, is determined; tendencies and prospects of financial provision of sustainable development of territorial communities of Ukraine for the medium term are substantiated. Based on the analysis of the composition and structure of local budget revenues, a reduction in the share of local budget revenues in consolidated budget revenues (excluding transfers) and in GDP has been identified. This trend reached its maximum value in 2023 and is primarily due to a reduction in the volume of interbudgetary transfers. Taking into account the significant burden on the State budget regarding the financing of the defense function of the State and servicing the public debt, the assumption that the trend towards reducing the volume of interbudgetary transfers for the next 3–5 years remains is substantiated. It is proved that the main budget-forming taxes for the formation of own revenues of local budgets are the personal income tax and the single tax. It is noted that the innovations proposed by the government regarding the administration of these taxes may lead to a reduction in revenues to local budgets in the medium term. Scenarios of tax revenues to local budgets are modeled according to various options for changing the base and rates of budget-forming taxes, and the importance of empowering local self-government bodies to influence the process of their administration, as proposed in the National Revenue Strategy 2030, is emphasized. Proposals on the expediency of using local borrowings and local guarantees as sources of additional revenues of local budgets have been substantiated, having previously assessed potential risks regarding the possibility of effective management of local borrowings and taking them into account in the development of long-term budget forecasts. Prospect for further research in this direction is the restoration of medium-term planning of local budget revenues and, in the future, the transition to a long-term time horizon that will correspond to the process of implementing the requirements of the related EU directives.
This article aims to explore the use of digital finance and fintech in financing sustainable projects and explain trends in the development of sustainable digital finance. Sustainable digital finance is the targeted application of digital finance to finance and support appropriate institutional and market mechanisms that contribute to the achievement of sustainable development. It is determined that the decentralization of the financial sphere opens up new opportunities for «green» investments and achievement of sustainable development goals. Transparency, trust, and efficiency are becoming essential components of a sustainable financial ecosystem that conserves natural resources and supports environmentally friendly initiatives. The use of digital technologies such as artificial intelligence (AI), blockchain and the Internet of Things (IoT) in the financial sector to support sustainable development and green finance is considered. By providing financial risk forecasting and analysis, these technologies help create sustainable and effective strategies for issuers and investors, which contributes to the development of a sustainable financial sector. The taxonomy of «green» digital finance, which combines sustainable development goals with digital financial technologies, is considered. The characteristics and examples of different types of sustainable digital financial solutions are provided. The importance of continuing research in the field of sustainable digital finance to promote «green» initiatives and effectively address modern global challenges is emphasized. The practical value of this article is that it provides an overview of modern technological and financial innovations in green finance and sustainable development. The results of the study can be useful for researchers interested in the integration of finance and technology in the context of sustainable development, providing them with a basic understanding of key concepts and trends in this direction.
The article discusses the use of blockchain technology in the field of digital marketing, which has become possible in the context of Web 3 development. The study analyzes both the advantages and potential risks associated with the integration of blockchain into the marketing activities of companies, especially in the context of the new generation of the Internet - Web 3. It was found that the growing popularity of Web 3.0 and blockchain opens up new opportunities for marketing. These technologies can help brands build consumer trust, optimize advertising costs, increase the overall effectiveness of marketing campaigns, and create new opportunities for consumer interaction. The study showed that blockchain has a number of advantages for marketing, such as transparency of transactions, data protection, fraud prevention, absence of intermediaries, increased content monetization, smart contracts for automated companies, and decentralized marketplaces. However, disadvantages such as complexity of integration, low transaction and scaling speed, high implementation cost, and the need for a significant amount of energy have been identified. The article focuses on the blockchain's potential to combat counterfeiting and increase the transparency of advertising campaigns. The prospects for creating unique loyalty programs through tokenization and the use of NFTs, which allows companies to form deeper and more personal connections with customers, are also highlighted. The results are substantiated by practical cases of well-known brands that demonstrate the practical application of these technologies and emphasize their importance for modern digital marketing. The article emphasizes the potential role of blockchain in the transformation of the marketing industry, pointing out the need for marketers to adapt to the new reality to achieve a competitive advantage. Understanding and implementing these innovative technologies can help increase the effectiveness of marketing strategies and create a more attractive environment for consumers.
Currently, the benefits of decentralization through blockchain technology in the financial sector are actively discussed, but rarely quantified. This article attempts to examine the potential benefits and limitations of blockchain technology in improving governance and performance in digital financial ecosystems. The possibilities of using blockchain technology from traditional financial structures to the creation of new business models operating on blockchain networks and using smart contracts are shown. The impact of decentralization in the management of decentralized autonomous organizations (DAOs) on the financial performance of companies in the field of decentralized finance (DeFi) was assessed. In the process of research, we use the Gini coefficient as an indicator of inequality among token holders. This metric is analyzed in the context of return on investment (ROI) for DeFi companies. The method of linear regression analysis and the rule of interpretation of natural logarithms in regression were used for calculations. This analysis revealed a significant relationship and positive impact of decentralization on the functioning and profitability of organizations in the DeFi field. The resulting relationship indicates that with increasing decentralization in management, the return on invested capital increases. To improve investment attractiveness and long-term stability, DeFi companies should consider fairer ways to allocate tokens so that decentralized governance models based on blockchain and DAO become more profitable. The results and conclusions obtained from the study are based on academic research articles, open data, industry reports and company reports in the DeFi industry.
Introduction. The expansion of the boundaries of cryptocurrencies in the context of economic uncertainty arising from the impact of conventional military and political conflicts and the significant replacement of fiat currencies and monetary money with cryptocurrency coins in the context of instability caused by war and sanctions in many countries and sectors of the economy due to the short historical period of cryptocurrency coins as a new type of electronic money have not been sufficiently studied. Methods. The methodological basis of the scientific research was formed by general and special research methods. The following research methods were used during the writing of the article: direct observation was carried out - the collection of information on the total market capitalization of crypto currencies and the amount of gross GDP of the People's Republic of China and the United States of America during 2013-2022, the number of owners of crypto currencies in some countries and their place in the Global Index adoption of crypto currencies in 2022; information processing methods are applied to confirm hypotheses; methods of analysis and synthesis; grouping and comparison; data visualization method. Results. The article considers global economic and military-political crises, which often lead to an increase in interest in cryptocurrencies as a «safe haven» for capital in the context of instability of national currencies and financial systems. The attractiveness of cryptocurrencies as an alternative investment instrument is established. Significant fluctuations in the prices of cryptocurrencies during economic crises are identified, which highlights the risks of using them as a means of preserving capital. The relationship between global economic and military-political crises and the dynamics of the cryptocurrency market is analysed, with an emphasis on the latest trends. The article examines how changes in regulatory policy in response to military and political crises affect cryptocurrency markets, offering a new perspective on the interaction between state regulation and decentralised financial systems. Discussion. The results of the study help investors and traders better understand the risks and opportunities associated with investing in crypto currencies in the context of global economic and military-political crises. The use of the developed forecasting methodology can contribute to more effective portfolio management, allowing to minimize risks and optimize the yield potential. Analyzing the interaction between the crypto currency market and global crises can be useful for regulators seeking to understand potential risks to financial stability and develop appropriate regulatory and policy solutions to manage these risks. Identifying specific patterns of market and investor behavior during crises provides valuable information for developing new products or improving existing ones in order to increase their attractiveness and security for users. The study offers new insights into the impact of macroeconomic and geopolitical factors on emerging financial assets, enriching the theoretical framework in the field of crisis economics and digital finance. Keywords: crypto currencies, global crises, economic instability, military-political conflicts, market volatility, investor behavior, geopolitical influence, regulatory policy, risk management
Introduction. Today, the introduction of DeFi and Web3 technologies, which provide users with access to a variety of financial instruments based on a decentralised distributed ledger, is of great importance for business development. These tools include DEX exchanges, DAO projects, participation in liquidity pools, the use of staking and farming of smart contracts, and decentralised lending. In addition, these technologies allow for risk insurance and the use of oracles to predict market trends, as well as interact with new forms of financial services. DeFi and Web3 are not only technological innovations, but also important catalysts for change in finance, transforming outdated financial technologies into open protocols (smart contracts). Methods. To achieve the goal of the article, an analysis of literary sources was carried out, the main characteristics of the components of the DeFi market were determined, directions for their use in the digital business environment in combination with the real sector of the economy were proposed. The methods of analysis, synthesis, system approach and comparative analysis were also used. Results. The article investigated the importance of the development and implementation of DeFi and Web3 technologies, which provide users with access to various financial instruments built on a decentralized distributed ledger system, such as DEX exchanges, DAO projects, ensure participation in liquidity pools, the use of staking and farming of smart contracts and decentralized lending systems, and also allow for risk insurance and the use of oracles to predict market trends and actively interact with new forms of financial services. This applies not only to the field of cryptocurrency exchange, but also includes a wide range of opportunities to participate and invest in various financial instruments built on the principles of decentralization and blockchain technologies. The obtained results testify to the significant potential and prospects of this direction in the financial sphere. It is noted that DeFi and Web3 are not just technological innovations, but also a real catalyst for transformations in finance, transforming outdated technologies of the financial system into open protocols (smart contracts). Despite the fact that DeFi is often viewed as a speculative tool, the article substantiates its economic efficiency, which consists in receiving passive income and saving on commission costs, providing liquidity for highly volatile cryptocurrency assets. Discussion. Further research perspectives in the field of DeFi, Web3 include the study of security and risk issues, the development of transparent legal frameworks, socio-economic impact assessment, technical innovation and environmental impact, which will contribute to the expansion and improvement of these technologies in the financial sector. In particular, the prospects may include exploring opportunities to ensure that DeFi technologies interact with the traditional banking sector and developing mechanisms to increase the degree of implementation and adoption of these innovations in the global financial environment. Keywords: DeFi market, DeFi technology, blockchain, web.3.0, farming, staking, smart contracts