War in Ukraine: 70 million crypto donations in 1 year

Crypto in support of Ukraine – After just a year of conflict on Ukrainian territory, it is time for the first assessments and chain analysis offers to provide an update on cryptocurrency donations made toUkraine since last year. We will then see how this new source of financing was used and above all what advantages the Ukrainians derived from it. The government of Zelensky has resolutely switched to cryptocurrency by using it directly for its purchases of military equipment, but also by advancing on his own MNBC.


Cryptocurrency donations in ETH, BTC and USDT mainly…

To start, know that the total amount of donations is 70 million of dollars according to the blockchain data specialist chain analysis. From the first months of the conflict, the international community reacted to the call of the government to Zelensky. Millions of dollars worth of crypto are being sent to help the country defend against therussian invasion.

Thus, nearly 29 million dollars in ETH were donated, but also 23 million in BTC and a little more than 11 million in USDT. 2.5 million dollars in various cryptos are also part of the donations just like the 6 million collected thanks to at the NFT auction. Alex Bornyakovthe Ukrainian Deputy Minister of Digital Affairs, welcomed this “absolute success”. He even admits to having been blown away by the amount of donations. But above all, he was pleasantly surprised at the ease with which these financial resources were used.

Crypto donations to Ukraine were mostly made in ETH, BTC, and USDT totaling nearly $70 million according to Chainalysis.
Cryptocurrency donations to Ukraine between February 2022 and February 2023 – source: Chainalysis

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…which facilitated the purchase of military equipment from the start of the war in Ukraine

In fact, we remember that last August, the Ukrainian authorities communicated on the first equipment purchases. A few months later, Alex Bornyakov still can’t believe it:

“If we had used the traditional financial system, it would have taken days and days […] However, we were able to secure the purchase of vital items in no time via cryptocurrency. And what’s amazing is that about 60% of vendors were able to accept crypto, and that, I didn’t expect. »

Alona Shevchenkothe co-founder of Ukraine DAO, behind the sale of NFTs, raises another crypto interest in the situation from Ukraine. She recalls that at the start of the conflict, the country’s central bank had to put in place restrictions on international currencies. This to protect the hryvnia which is the national currency. Without cryptos, it is impossible to make all these purchases:

“Through crypto we were able to cover some of the immediate needs of our defenders, there was literally no other way at the time. »

Cryptocurrency has greatly simplified the purchase of military equipment if we are to believe the statements of the authorities of Ukraine.
Crypto has greatly simplified payments to and from Ukraine

Cryptocurrency makes it possible to circumvent certain international constraints

Mark Luriecrypto entrepreneur goes even further on this theme. It lends crypto some undeniable qualities brought to light by the war in Ukraine. Indeed, in times of peace, he explains, the advantages of crypto transfers are marginal. Although faster and more transparent, they are often less convenient. But when the situation escalates, things are reversed. Ukrainians need everything. Right away. Offensive, defensive weapons, food and medicine.

However, he recalls that the international financial system does not always make it possible to go as quickly as desired:

“The standard two-day settlement for international wire transfers can already feel like a lifetime when food is scarce and bullets are flying. But in practice, wire transfers to and from Ukraine are often delayed or even blocked by US and international banks who find it difficult to monitor the source and destination of funds to prevent money laundering, including understood by the enemy. »

For him, as for many observers, the situation demonstrated the fullefficiency of the crypto in times of crisis. We had already seen together during the chronicles of the weekend that Bitcoin could simplify the lives of millions of people in Africait seems that our Ukrainian friends in turn now realize the value of this technology when things go wrong.

A bit like geopolitics, crypto is sometimes complex to understand. However, she demonstrates all her interest in emergency situations. Register now on eToro and start getting acquainted with this exciting ecosystem (commercial link).

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