Ukraine Cyber Chief Pays Surprise Visit To apos;Black Hat apos; Hacker...

Zhora told Reuters in an interview that Microsoft, Amazon and Google had offered pro bono cloud computing services to the Ukrainian government as it moves its data out of the country, away from the destruction wreaked by Russian bombs and missiles.

But as cryptocurrencies gain in popularity, grabbing an increasing share of the global financial pie, governments have taken notice, and now many of them are exploring how to get a piece of the action. One possibility is what's known as a CBDC, or a central bank digital currency.

During his unannounced visit, Victor Zhora, the deputy head of Ukraine's State Special Communications Service, told the so-called Black Hat convention on Wednesday that the number of cyber incidents to have hit Ukraine tripled in the months following Russia´s invasion of his country in late February.

That's what the digital dollar would promise. CBDCs could bypass the traditional banking system by allowing money to flow directly between parties, just like exchanging cash or transferring funds electronically. 

Ukraine faced a number of "huge incidents" in cyberspace from the end of March to the beginning of April, Zhora said, including the discovery of the "Industroyer2" malware which could manipulate equipment in electrical utilities to control the flow of power.

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What is a central bank digital currency? It's the virtual form of a fiat currency -- that is, government-issued money that isn't backed by other commodities like gold or silver. In short, a CBDC is just the digital form of a country's official currency. As nothing more than a computer code, these currencies could be stored on central ledgers within a country's national bank or on a distributed ledger the way private cryptocurrencies like bitcoin are.

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Zhora said he would not waste time on the slot machines at the sprawling Mandalay Bay casino, where the Black Hat conference is being held: "It would be inappropriate for me to gamble here while Ukrainian soldiers are defending our land." (Reporting by James Pearson; additional reporting by Christopher Bing; editing by Grant McCool)

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LAS VEGAS, Nev., Aug 11 (Reuters) - Ukraine's top cyber official addressed a room full of security experts at a hackers' convention following a two-day trip from the capital, Kyiv, to a golden casino in Las Vegas.

Not only is it destabilizing, the Fed's report appears to throw shade on the idea that the Fed currently has the authority to create such accounts. Moreover, the Fed could be signaling that it's wary about expanding its current role to these proportions.