As of March 3rd 2022, Multiple donations have been received by the Ukrainian army in cryptocurrencies like bitcoin. Researchers at Elliptic (a blockchain analysis company), say the Ukrainian government, thanks to NGOs and a large quantity of volunteer groups have manage to increase their money supply by advertising their Bitcoin wallet addresses online.
Bitcoin has leapt in value to over $44,000 USD since Russia's invasion of Ukraine, bolstered by people in those countries looking to store and move money in anonymous and decentralized crypto wallets. Bitcoin trading denominated in the Russian ruble went into overdrive when the invasion began on Thursday, with daily volumes rising 259% from a day earlier to 1.3 billion ruble, according to data from CryptoCompare. On Feb 24, 5 days after Russia invaded, Bitcoin trading denominated in the Russian ruble went into overdrive as bitcoin has risen 13%, while the S&P 500 dropped. On the day of the attack, about $300 million short bitcoin positions were liquidated, Coinglass data showed, while Singapore-based QCP Capital said (a good portion) of leveraged long positions had been taken out.
Research shows that $4.1 million in crypto has been raised by nongovernmental organizations and volunteer groups in Ukraine since the invasion began, including a single $3 million donation early Friday. When Ukraine’s pro-Russian president Viktor Yanukovych was ousted in 2014, for example, legions of organized volunteers stepped up to support protesters. Typically, these organizations receive funds from private donors via bank wires or payment apps, but cryptocurrencies such as bitcoin have emerged as an important alternative funding method, since they allow for quick, cross-border donations, which bypass financial institutions that might block payments to Ukraine. A statement on the government’s website said that the (national legislation does not allow the Ministry of Defense of Ukraine to use other payment systems ).
On Saturday afternoon, the official Twitter account of the Ukraine government posted this message: "Stand with the people of Ukraine. Now accepting cryptocurrency donations. Bitcoin, Ethereum and USDT." Followed by a message that had posted addresses for two cryptocurrency wallets, which collected approximately $5.4m in Bitcoin, Ethereum and other coins within eight hours.
Positive uses for cryptocurrency:
Ukrainians have deployed crypto funds for a variety of purposes, including equipping the Ukrainian army with military equipment, medical supplies and drones, as well as funding the development of a facial recognition app that identifies if someone is a Russian mercenary or spy. An activist group, Come Back Alive, which began accepting cryptocurrency in 2018, provided the military with equipment, training services and medical supplies. It also funded the development of a drone-based reconnaissance and targeting system for Ukrainian artillery units. Other groups supporting the efforts of the Ukrainian resistance have asked for donations in crypto assets, such as non fungible tokens also known as NFTs.
Stable Coins:
Additionally, as of Friday, stablecoin transactions comprised over 83% of the total crypto market's 24-hour trading volume according to CoinMarketCap.