Since the Russian invasion a year ago, Ukraine has received 28.9 million dollars in aid. USD ether, as well as 22.8 mln. USD Bitcoin and 11.6 mln.
Since the start of the Russia-Ukraine conflict, Ukraine has received more than $70 million in cryptocurrency, which the country has used to fund military equipment and humanitarian aid.
These numbers are as of February 24. A report by blockchain data platform Chainalysis found that most of the funds were received in the form of Ether.
ETH donors led the way with 28.9 million. USD, and BTC and Tether donors
22.8 and 11.6 million respectively.
There was also support in the form of non-fungible tokens, for example, the Ukrainian DAO auctioned the Ukrainian flag NFT for 6.1 million.
About 80% of the total $70 million in aid came in the first few months of the war, and the speed of cryptocurrency payments has accelerated the country’s ability to respond to a Russian attack, according to Ukraine’s Deputy Minister of Digital Affairs Alex Bornyakov. Yahoo explained in an interview. Mali February 24:
“If we used a traditional financial system, it would take several days […] We were able to buy vital goods quickly using cryptocurrency, and surprisingly, about 60% of suppliers Being able to accept cryptocurrency, I didn’t expect. That.”
Bornyakov added that the crypto fund’s contribution to Ukraine was an “absolute success” and he was surprised not only by the size of the donation, but also by the fact that the digital ministry was able to easily use it to defend Ukraine. Access funds.
Ukrainian DAO co-founder Alona Shevchenko also explained to Yahoo Finance that cryptocurrencies were a solution when Ukraine’s central banking system was subject to restrictions:
“The Central Bank imposed restrictions on foreign currency transfers to Ukraine in order to prevent the exchange rate of the hryvnia […] Thanks to cryptocurrencies, we were able to meet some of the immediate needs of our advocates, literally not the other way around.” was. time.”
According to Mykhilo Fedorov, Ukraine’s deputy minister and minister of digital transformation in August, most of the cryptocurrency payments to the digital ministry were used to finance the country’s military equipment, armored vehicles and various vehicles and medicine.
The growing dependence on cryptocurrencies seems to have increased in Ukraine, and according to a report by ChinaAnalysis in September, Ukrainians are the third largest users of cryptocurrencies after Vietnam and the Philippines.
Related: What the Russia-Ukraine War Has Revealed About Cryptocurrency
But pro-Russian military groups have also used cryptocurrencies to finance their war efforts, including using cryptocurrencies to finance military purchases, spread disinformation and create pro-invasion propaganda, according to Chainalysis.
100 groups received a total of 5.4 million during the war. USD, but the number of victims has decreased significantly since July.
It is not yet clear what impact the sanctions will have on the decline, but the 10th round of sanctions against Russia went into effect on February 24.
Meanwhile, a recent crime report by Chainalysis found that out of $456.8 million in ransom payments for 2022, most of that money was taken by “activists” believed to be in Russia.
Chainalysis revealed that such attacks are often used by malicious actors for a political agenda, such as the controversial Russia-based ransomware group Konti, which recovered 66 million from victims in 2022. The USD has previously announced its “full support” of the Russian government.