The rise in importance and prevalence of cryptocurrency is all around us. It permeates virtually all aspects of life at this point. With more organizations, governments, and other establishments adopting and endorsing payments via cryptocurrency, it’s likely that you’ll buy, sell, send or receive cryptocurrency very soon.
Now, cryptocurrency is playing a significant role in the Russia-Ukraine conflict (which has caused oil and gas prices to surge). After the initial invasion of Ukraine by Russian forces, a grassroots effort to get cryptocurrency donations has helped facilitate the flow of needed funds to Ukrainian citizens and soldiers. For the first time in history, digital currencies play a crucial role in aiding a nation in crisis. Let’s talk about how much crypto aid Ukraine has received so far and how they requested the donations.
How Much Cryptocurrency Has Ukraine Received So Far?
According to Coindesk, both the Ukrainian government and non-governmental organizations supporting their military combined have raised nearly $100 million in crypto donations as of the week of 3/9/22. This is on top of the billions of dollars in financial support that Ukraine is now receiving from NATO allies. Here’s how Ukraine was able to receive so many crypto donations:
Ukraine’s official Twitter account tweeted out their crypto wallet addresses asking people to donate Bitcoin (BTC) and Ethereum (ETH):
Stand with the people of Ukraine. Now accepting cryptocurrency donations. Bitcoin, Ethereum and USDT.
BTC – 357a3So9CbsNfBBgFYACGvxxS6tMaDoa1P
ETH and USDT (ERC-20) – 0x165CD37b4C644C2921454429E7F9358d18A45e14
— Ukraine / Україна (@Ukraine) February 26, 2022
This tweet was followed by a tweet from Alex Bornyakov, the Deputy Minister of Digital Transformation of Ukraine, also including the crypto wallet IDs of the official Ukrainian crypto fund:
These are wallet ids of official Ukrainian crypto fund:
BTC — 357a3So9CbsNfBBgFYACGvxxS6tMaDoa1P
ETH — 0x165CD37b4C644C2921454429E7F9358d18A45e14
USDT (trc20) — TEFccmfQ38cZS1DTZVhsxKVDckA8Y6VfCy
— Alex Bornyakov (@abornyakov) February 28, 2022
“In times like these, response time is crucial. Crypto is playing a role to give us the flexibility to respond really quickly to deliver the army’s required supplies,” Bornyakov said.
The outpouring of support that Ukraine has received thus far is incredible and astounding. Fueled by a serious conflict, the sheer volume of crypto donations as a money supply is undoubtedly a first for any country.
Why Cryptocurrency Is So Significant
As you can see, this is the first time in history that cryptocurrencies are playing a pivotal role in aiding a country during a time of crisis and conflict. Why is this so significant, you might ask? Well, as we transition to adopting cryptocurrencies as a medium of exchange in society, donations like this will likely become more common.
It’s worth noting that cryptocurrency transfers from wallet to wallet are lightning-fast, unlike traditional bank transfers, which can take several business days in some cases. The transaction speed of cryptocurrencies is a key reason Ukraine has asked for crypto donations: they need funds to purchase goods and supplies fast.
With the rise in popularity and the widespread acceptance of cryptocurrency, expect the values of cryptos to go up over time. If you’re curious about how to start buying and selling cryptocurrencies yourself, check out crypto exchanges such as Coinbase and Gemini, or a trading platform like Robinhood.
The Bottom Line
As the world moves toward accepting and integrating digital currencies into the workings of everyday life, we’ll certainly see more scenarios like this in the future. My takeaway from the incredible volume of crypto donations to Ukraine? The reality of cryptos as a means of exchange for goods and services is very real and will only increase in the future.