Is the Crypto Market recovery due to charitable donations despite the Russian-Ukrainian war?
The Crypto Market Surge Continues as it is green all over as this morning’s crypto market increase transforms into a stunning surge for several leading coins. The cryptocurrency market has increased by roughly 11% in the previous 24 hours. Bitcoin has gained 15% in that time frame and is back above $43,000, while Ethereum is flirting with a return to $3,000 territory. This outcome is in line with the recent surge in the market value of cryptocurrencies, which has already above $1.9 trillion.
As Western countries joined together against Russia and imposed sanctions on the aggressor, the markets began to move upward this afternoon and very swiftly, which may be one of the reasons for the market’s speedy recovery.
The Treasury Department and, according to reports, the White House are instructing organizations and people domiciled in the United States not to support crypto transactions involving specific Russian citizens and institutions. As of March 1, U.S. individuals will not be able to use digital currencies to benefit the Russian government, including its central bank, according to Treasury Department regulations.
In response to the ongoing war in Ukraine, bitcoin donations to Ukraine have surged. Considering Ukraine’s small size and lack of military force, the country may need all the help it can get, and millions of supporters around the world have turned to cryptocurrencies for instant donations. Ukraine has gained a new aide in the form of Binance, the world’s largest cryptocurrency exchange.
Ukraine’s Cryptocurrency Donations Approximately USD 20 Million. Following Russia’s February 24 invasion of Ukraine, the Ukrainian government, and non-governmental organizations (NGOs) aiding the Ukrainian military have received at least USD 18.9 million worth of cryptocurrencies.
Bitcoin (BTC) accounted for 56.4% of all donations as of February 27th, 23:50 UTC, with Ethereum (ETH) accounting for 31.8%. (ETH). In comparison, less than 1% of donations come from “other” crypto assets, which include stable coins (digital assets linked to fiat currencies).
Will Cryptocurrency Aid Russia in Avoiding New Sanctions?
SWIFT is an abbreviation for the ‘Society for Worldwide Interbank Financial Telecommunication.’ It is a cross-border payment system that enables users worldwide to purchase, transmit money, and pay fees. As a result of Russia’s top financial institutions being separated from the global financial system, some have speculated that Russia would turn to another alternative in the aftermath of this situation.
But however, Russia is looking for ways to get around sanctions on energy and gold. Russian officials are expected to use energy sales and the country’s gold and Chinese currency reserves to offset the financial impact of the sanctions, according to cryptocurrency experts. Other possible methods of transferring assets include using smaller banks and accounts controlled by privileged families that aren’t under sanctions, utilizing Russia’s relationship with China, and engaging in cryptocurrency trades.
Will Russia’s economy be able to withstand sanctions? Is there going to be a new wave to the Crypto Market?
Sources:
Decrypt, Cointelegraph, Bitcoinist, Crypto News, Bitcoinist, The Denver Post
