Russia’s Invasion is Litmus Test for Cryptocurrency Exchanges.

• Cryptocurrency is a value reservoir, unaffected by fiat and government policy instruction.
• Russia’s central bank accepts crypto payments.

To defend against Russia’s invasion of Ukraine, many corporations have withdrawn from the country and all western countries banned financial services to Russia but still, top crypto exchanges are supporting financial services to the Russian Citizens.

At the end of February, the European Commission suspended many Russian banks from the Society for Worldwide Interbank Financial Telecommunications (SWIFT) messaging system, limiting Russia’s cross-border payments.

Stability of Cryptocurrency 

Russian users has not been banned from accessing the crypto exchange services. Still, major crypto exchanges in the United States have so far refused to stop banning, regulating, and strict restrictions on crypto services. This is a strong stance that fits with the cryptocurrency community and shows its spirit. 

It is worth the crypto community to explore such alternatives, the crypto markets are meant to be an alternative to those that are dominated by government policy and the existing technology could assist them in conforming to their values and identifying bad activities. 

Around 17.3 million Russians or about 11.9% of the population hold cryptocurrency, which is roughly 50% greater than the United States. 

A cryptocurrency is an important tool for ordinary citizens in Russia, as it is in Venezuela and other places where the economy is in disaster, to resist financial oppression. By any measure imposing restrictions on such a market would affect everyone in a huge economy.

On June 1st, Ksenia Yudaeva, the First Deputy Governor of the Russian Central Bank, stated in a press conference that Russia does not oppose the use of crypto in international trade and the discussion about the use of digital currencies for overseas settlement is currently in progress.