- On the flip side of the battle, almost $100 million in cryptocurrency donations poured into Ukraine as people were affected by the mounting humanitarian situation. Binance donated US$10 million to the Ukrainian Humanitarian Effort after initiating a crypto-first crowdfunding campaign that raised at least 155 BTC (about $6 million at the time).
- Cryptocurrencies have become a factor on both sides of the conflict, with supporters using them to send money to Ukraine and concerns that Russia could use them to escape sanctions.
- The largest cryptocurrency exchange in the United States by volume has blacklisted over 25,000 addresses related to Russians, with other major exchanges following suit.
According to panelists at Forkast’s latest Crypto Rising virtual monthly event, Russia’s invasion of Ukraine has highlighted the necessity for cryptocurrency legislation to keep up with the developing business they attempt to regulate. Angie Lau, creator, and Editor-in-Chief of Forkast, presented the panel, which gathered attendees from over 58 nations.
The Value Of Cryptocurrency Is Increasing
Cryptocurrencies have become a factor on both sides of the conflict, with supporters using them to send money to Ukraine and concerns that Russia could use them to escape sanctions. As a result, the war has shifted the focus on crypto laws away from prior talks, which have focused on hacking and other criminal risks as the market has grown since 2020.
I believe the crisis has driven a much deeper understanding of the technology and its uses said Chainalysis Inc. panelist Caroline Malcolm. Those conversations [around crypto policy and legislation] have been accelerated substantially as a result of the invasion of Ukraine, said the head of international policy at the crypto data and research organization.
Western nations agreed to a package of penalties in the weeks after Russia invaded Ukraine on February 24, including a prohibition on seven Russian banks from using the Society for Overall Interbank Financial Telecommunication (SWIFT), the worldwide financial correspondence stage. The action severely curtailed these banks’ ability to send and receive remittances, with one Russian expat describing the development to Forkast as a financial disaster.
Russians witnessed the ruble’s value drop against the dollar and other developed market currencies as the financial sanctions began to bite. As a result, some Russians purchased Bitcoin and other cryptocurrencies in order to safeguard their savings.
Going To Keep Up With Cryptocurrency
To comply with sanction obligations, bitcoin exchanges began blocking some Russians from using their services. Coinbase, the largest cryptocurrency exchange in the United States by volume, has blacklisted over 25,000 addresses related to Russians, with other major exchanges following suit.
Binance, the world’s largest crypto exchange by volume of transactions handled, has restricted services to Russians and claims to have met European Union sanction requirements. Companies including Mastercard, Google, and Apple have reduced or eliminated their presence in Russia.
On the flip side of the battle, almost $100 million in cryptocurrency donations poured into Ukraine as people were affected by the mounting humanitarian situation. Binance donated US$10 million to the Ukrainian Humanitarian Effort after initiating a crypto-first crowdfunding campaign that raised at least 155 BTC (about $6 million at the time).
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Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.
Source: https://www.thecoinrepublic.com/2022/05/23/crypto-rules-must-change-and-decentralize-in-order-to-remain-relevant-cryptocurrency-is-increasing/