By Nathan Ferguson
The Ukrainian government has received million in cryptocurrency contributions amid the ongoing Russian invasion.
Volodymyr Zelenskyy, the Ukrainian President, has signed a bill that legalizes cryptocurrency in the nation. The move comes as Ukraine received crypto contributions worth millions from groups and individuals as the country fought the Russian invasion.
Meanwhile, the Ukrainian parliament approved this bill last month and created conditions for launching the legal crypto market in Ukraine. The bill allows banks in Ukraine to open investment accounts for cryptocurrency firms.
Cointelegraph reports that the National Commission on Stock Market and Securities and Ukraine National Bank will monitor the industry. That means cryptocurrency exchanges and firms handling digital assets should secure licenses from the government. Meanwhile, Ukraine guarantees protecting citizens’ crypto holdings with similar measures as hryvnia. Hryvnia is the nation’s fiat currency.
A Telegram post revealed Ukraine’s Mykhailo Fedorov stated that the signed law would open the crypto market for the masses (Google Translate). He wrote that the crypto sector became vital equipment for supporting the Ukrainian military amid war. The nation had received over $54 million in crypto as Russia escalated the attacks. Meanwhile, some outlets reveal that the state received almost $100 million in cryptocurrency donations.
Crypto plays a vital role in the conflict between Ukraine and Russia. Besides Ukrainian benefiting from donations, cryptocurrencies have been a lifeline for Russia amid massive financial sanctions. Meanwhile, Ukrainian citizens have increasingly purchased cryptocurrencies, trading activities on domestic trading platform Kuna gaining 200% after Russia launched the attack. As swapping crypto for fiat remains necessary and challenging, legalizing crypto will help amend the hurdles.
Remember, Ukraine’s leading cryptocurrency platform, Kuna, has received millions of donations in crypto. The new law would allow the exchange to spend the money in a crypto-friend environment, directly dealing with suppliers. Kuna has been accountable n directing the contributions to the Ukrainian armed forces.
The Ukrainian government has made it smooth for cryptocurrency inflows by authorizing digital coins and assisting exchanges such as FTX and Kuna build a donation platform. Dubbed Aid for Ukraine, the website currently accepts cryptocurrency contributions in BTC, ETH, USDT, DOT, SOL, DOGE, XMR, NEO, and ICON.