In 1997, during Bulgaria's second episode of hyperinflation, Hanke was appointed as an Adviser to Bulgarian President Petar Stoyanov, and worked to bring about the establishment of Bulgaria's currency board. Inspired by the original Hanke-Schuler blueprint, members of the Bulgarian government drafted a law which converted the Bulgarian National Bank to a currency board system. Acting in his capacity as Stoyanov's adviser, Hanke continued to be deeply involved in fine-tuning and steering his idea to full adoption, throughout the drafting, legislative, and implementation process.