Crypto News
28 Feb 2022

Crypto Donations Worth Millions for Ukraine

Akumbenla Jamir

Ukraine has raised more than $10 million worth of cryptocurrencies, including Bitcoin and Ether, as it defends the Russian invasion. According to research from blockchain analytics firm Elliptic, Ukraine has two wallets—one accepting only Bitcoin payments and the other taking Ether and Tether—that are used for the crowdfunding.

Pleading for cryptocurrency donations, the official Twitter accounts of Ukraine and the Vice Prime Minister, Mykhailo Fedorov, both shared details of the two crypto wallets earlier this week, on 26 February.

Ukraine pleads for donations

Victor Zhora, one of Ukraine’s top cyber defense officials, confirmed the tweets and wallet addresses.

Data made available by Elliptic suggests that over 4,000 Bitcoin donations, amounting to millions, have been made so far. One anonymous donor gifted $3 million in Bitcoin to Come Back Alive, a Ukrainian NGO. 

Further, about $1.86 million of the money donated came from the sale of an NFT that was originally created to raise funds for WikiLeaks founder Julian Assange.

These donations in crypto are on top of the millions in digital currency donated to nongovernmental organizations supporting the Ukrainian military.

How Will the Donations Be Used?

While questions were raised about the intended use of the crypto donations, activists have reported that they used them for various purposes. They are being used to equip the Ukrainian army with military gear, medical supplies, and drones and to fund the development of a facial recognition app to identify Russian mercenaries and spies.

Why Crypto Crowdfunding

Volunteer groups have played an important role in the Russia–Ukraine conflict for many years providing additional resources and manpower to Ukraine. Typically, they donate via bank wires or payment apps, but cryptocurrencies like Bitcoin have emerged as a popular alternate funding method owing to their quick, cross-border transactions.

Come Back Alive, an NGO that provides equipment to the Ukrainian military has been accepting crypto donations since 2018. It has raised millions of dollars worth of digital currency since Russia’s invasion began on February 20, 2014.

Tom Robinson, Elliptic’s chief scientist, explained the popularity of crypto earlier, saying, “Cryptocurrency is particularly suited to international fundraising because it doesn’t respect national boundaries and it’s censorship-resistant; there is no central authority that can block transactions, for example in response to sanctions.”

Disclaimer : Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. The information provided in this post is not to be considered as investment/financial advice from CoinSwitch. Any action taken upon the information shall be at user's own risk.


Akumbenla Jamir

Content Writer

Table of content