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The article identifies the features of coverage the digitization process of  the economy in the scientific literature. The first mentions of the digital economy and its introduction on the G20 agenda have been identified. The development of the digital economy and its introduction into the economy of Ukraine is given. The definitions of the digital economy formed by domestic scientists are highlighted, and their theoretical character is determined. The work “Digital Economy: Trends, Risks and Social Determinants” by Razumkov Center  is dedicated. A characteristic of the digital economy, based on the analysis, is formed in the process of generalization  which reflects its current economic essence. The dangers and risks of the digital economy are identified and characterized. Digitalization of Ukraine’s economy currently has a narrow focus on certain areas of the economy and its limited activities (focus on providing services). The hidden shortcomings of the application of the digital economy are further identified. It is determined that the economy of Ukraine is in crisis, there is a decline in the economy and a significant decline in productivity. The decline of Ukraine’s economy in 2020 is presented in terms of quarters. The digital economy cannot improve this situation, as it has secondary nature to production. Reforming the economy, raising GDP should take place before the application of digitalization. Therefore proposals for minimizing hazards are offered, namely the development of new economic models of market economy with adjustment of the negative challenges of the digital economy; and adaptation of the basic postulates of the digital economy to the Ukrainian reality and indicative areas of researches.

DIGITAL ECONOMY, ITS DEVELOPMENT AND ECONOMIC CHARACTERISTICS