Ukraine Receives Crypto Donations of More Than $22 million

Mar 1, 2022
Ukraine Receives Crypto Donations of More Than $22 million

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As Russia’s invasion escalated over the weekend, Ukrainian officers made an uncommon request on Twitter: Ship us your crypto.

A collection of tweets, despatched from government accounts, listed on-line pockets addresses for Bitcoin, Ether and Tether, three of the preferred cryptocurrencies. Since then, cryptocurrency traders have donated greater than $22 million price of digital belongings to the Ukrainian authorities and a nonprofit supporting the nation’s army, based on knowledge supplied by the blockchain monitoring agency Elliptic on Monday night.

The battle in Ukraine has put the rising cryptocurrency trade below new scrutiny, with politicians and regulators expressing concern that the digital tokens may develop into a software for sanctions evasion by Russian companies and authorities officers. However cryptocurrency has additionally supplied a approach for traders world wide to shortly transfer funds to Ukrainian fighters, as extra conventional crowdfunding methods encounter obstacles.

Final week, the crowdfunding web site Patreon took down a web page operated by Come Again Alive, a Kyiv group that has raised cash to arm and practice army personnel in Ukraine. Patreon mentioned the web page had violated its guidelines towards funding army exercise.

However Come Again Alive now has a brand new supply of funding: a crypto collective referred to as UkraineDAO, which was fashioned final week by crypto lovers working with the Russian protest band Pussy Riot. A spokeswoman for UkraineDAO mentioned it had raised greater than $4 million in cryptocurrency for Come Again Alive.

Nadya Tolokonnikova, a member of the band, mentioned in an interview that Come Again Alive had agreed to spend the funds on medical help for victims of the conflict, relatively than arming troopers.

“Blockchain permits us to scale our efforts in a approach that wasn’t potential for us earlier than,” Ms. Tolokonnikova mentioned, referring to the decentralized ledger system that underlies cryptocurrencies. “The previous methods of elevating cash typically are actually sluggish and simply clumsy.”

Come Again Alive didn’t instantly reply to a request for remark. In accordance with Elliptic, the Ukrainian group had raised greater than $7 million in cryptocurrency as of Monday night. The federal government of Ukraine had obtained $15.4 million in cryptocurrency contributions, Elliptic mentioned.

The donations are a drop within the bucket within the context of the battle. Final yr, Ukraine’s protection price range was about $4 billion; Russia spends greater than 10 instances that a lot on its army.



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Supply- nytimes