A crypto war is raging – crypto donations fuel the war between Russia and Ukraine

More than $4 million has already been contributed to non-governmental organizations assisting Ukraine in Russia’s unprovoked invasion of the country. A ‘crypto war’ has just begun, according to analysts.

Meanwhile, as the panic of war drains the country’s ATMs, many Ukrainians are resorting to Bitcoin.

Elliptic, a blockchain analytics firm based in London, released statistics Friday showing that crowdfunding has increased since Thursday, following Russia’s invasion of Ukraine.

“On February 24 alone, an NGO received more than $675,000 in Bitcoin, and by 9:30 a.m. on the 25th it had already received more than $3.4 million — more than $3 million of which was provided by a single contributor,” Elliptic said. .

This brings the total amount raised by these groups from the start of the invasion to more than $4 million, Elliptic said.

Total Crypto Market Cap at $1,738 Trillion in Daily Chart | Source: TradingView.com

Crypto War: Who Wins?

This increase in donations is part of a more significant trend of Ukrainian volunteers and NGOs spearheading organizational efforts since the conflict began eight years ago with the separatist Donbas republics.

Bitcoin was up 1.75% to $47,130 at the time of writing. The crypto fell to an early morning low of $46,173 before climbing to a high of $47,247, signaling a mixed start today.

Related article | Crypto Wallets of Russian Politicians Targeting Ukraine – Big Reward Up for Grabs

“Cryptocurrencies can be used to crowdfund the Ukrainian military or help Russia avoid sanctions because there is no central authority that can impose their morality on the users,” said Tom Robinson, chief scientist and co-founder of Elliptic. “No one can prevent it from being used in any way.”

One of the many costs of war is its impact on the global financial market. Experts also fear a huge human toll, with Ukrainian President Volodymyr Zelensky declaring that more than 100 Ukrainians had been killed in the first 24 hours of the attack.

Collateral damage

The invasion has disrupted the lives of the Ukrainian people and many have tried to flee the country. In contrast, Zelensky advises others to protect their homes from Russian soldiers and attacks.

As Russian tanks roll into Ukraine, the two economies that led the way in adopting the new form of digital money are now using it to gain a competitive advantage in the geopolitical battle.

For example, Ukraine is looking for further measures to avert the Russian invasion of their country by going after the crypto wallets of government officials.

For the part of Russia, it has been reported that hackers from the country have allegedly carried out cyber attacks on private financial firms in Ukraine to break into their crypto reserves.

A tool that changes the game

Early today, Crypto.com Coin fell 3.68%, against the trend. The rest of the majors, on the other hand, had an optimistic start to the day. This afternoon (February 27), Bitcoin’s market dominance increased by 0.13% to 41.89%, as statistical analysis shows.

Crypto analysts predict that volatility in global financial markets, including cryptocurrencies, will follow as the war continues.

For the first time, the crypto era’s first major battle also means both sides have access to a tool that can quickly move billions of dollars across borders.

Related article | Russia said SWIFT ban could equate to declaration of war

Featured image of OpenSea, chart from TradingView.com

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