KronosSlott
  • Altcoin
  • Bitcoin
  • Blockchain
  • Ethereum
  • Litecoin
  • Gambling

Subscribe to Updates

Get the latest Crypto news from kronosslott.

What's Hot

BTC Price Is in a Range as It Pauses Above $23K Support

February 4, 2023

Bloktopia Metaverse Crypto Pumping New Land BLOK NFTs – RobotEra Presale Stronger Potential?

February 4, 2023

Biggest Crypto Gainers Today – February 3

February 4, 2023
Facebook Twitter Instagram
  • Affiliate Disclosure
  • Anti Spam Policy
  • Cookie Policy
  • Privacy Policy
  • Terms & Conditions
Facebook Twitter Instagram
KronosSlott
  • Altcoin
  • Bitcoin
  • Blockchain
  • Ethereum
  • Litecoin
  • Gambling
KronosSlott
Home » War Spurs Crypto Activity in Russia and Ukraine, Chainalysis Reports – Bitcoin News

War Spurs Crypto Activity in Russia and Ukraine, Chainalysis Reports – Bitcoin News

adminBy adminOctober 15, 2022No Comments5 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Reddit Telegram Email
War Spurs Crypto Activity in Russia and Ukraine, Chainalysis Reports
Share
Facebook Twitter LinkedIn Pinterest Email


The deadly conflict that started with Russia’s assault on Ukraine has increased crypto-related activity in both countries, according to Chainalysis. Fiat inflation and sanctions pressure led to several spikes in transaction volumes this year, the blockchain forensics firm has found, while Eastern Europe as a whole sustained its role in the global crypto ecosystem.

Russians and Ukrainians Turn to Crypto Amid Consequences of Escalating Military Clash

The Russian invasion of Ukraine and ensuing military conflict that’s currently escalating have affected all aspects of life in the two nations, and cryptocurrency is no exception, Chainalysis said in an excerpt from its upcoming 2022 Geography of Cryptocurrency Report. Citizens of both countries have felt the war’s economic impact and experienced high inflation.

Shortly after the hostilities began in late February, Russian and Ukrainian cryptocurrency transfers saw an increase. In the following weeks and months trends diverged, and while Russian transactions wavered in a relatively narrow range, possibly influenced by restrictions on services, Ukrainian transactions steadily rose through June.

War Spurs Crypto Activity in Russia and Ukraine, Chainalysis Reports

In March, right after the war started, Ukrainian hryvnia-denominated trade volume jumped 121% to $307 million, while Russian ruble-denominated trade volume rose 35% to $805 million. “After that, we see volumes drop off for both countries, ebbing and flowing through August, but never reaching their March highs,” the authors of the study noted.

Amid currency controls introduced under the martial law imposed by Kyiv, including restrictions on the cash purchases of U.S. dollars or euros and transfers abroad, some Ukrainians may have looked to exchange their hryvnia holdings for cryptocurrency, according to Tatiana Dmytrenko, a high-ranking adviser in Ukraine’s Ministry of Finance and member of the World Economic Forum’s Digital Assets Task Force. Crypto trading volumes declined when these measures were relaxed in July.

Chainalysis quotes a money laundering specialist who commented on similar activity in Russia, where currency restrictions were also applied. “The major question not just for oligarchs but also ordinary Russians became, ‘How do you get money out of Russia?’” said the expert who chose to remain anonymous. “Many began looking for new places where they could cash out their crypto,” he added citing the UAE, Turkey, Kazakhstan, and Georgia as jurisdictions where Russians could have found such services.

While according to the researchers, crypto markets are hardly liquid enough to support systematic sanctions evasion, cryptocurrency could potentially play a role in financing Russia’s foreign trade, after its banks were cut from the global payment messaging network SWIFT. The expert pointed out that the Central Bank of Russia recently agreed to legalize crypto payments for cross-border settlements and some companies may have already started using digital assets for such transactions. In his opinion, stablecoins would likely be preferred as a medium of exchange as they are not volatile like bitcoin.

Eastern Europe Maintains 10% Share of Global Crypto Transactions, Chainalysis Data Shows

As a whole, Eastern Europe is the fifth-largest cryptocurrency market with $630.9 billion in value received on-chain between July 2021 and June 2022, which is a little over 10% of the global transaction activity during that period, Chainalysis said. The region’s “comparative role in the bigger, worldwide crypto ecosystem has stayed surprisingly consistent over the last few years” while other regions have seen more volatility, the company elaborated.

“Risky and illicit activity is still prominent when we look at Eastern Europe’s on-chain activity: High-risk exchanges – those with no or low KYC requirements – account for 6.1% of transaction activity in the region,” the report further notes. According to the compiled data, over 18% of all cryptocurrency received by Eastern Europe comes from addresses associated with risky or illicit activity, more than any other region, according to Chainalysis.

Tags in this story
Activity, Chainalysis, conflict, Crypto, Crypto activity, crypto assets, crypto payments, crypto transactions, Cryptocurrencies, Cryptocurrency, Currency, Eastern Europe, Economy, Fiat, inflation, region, report, restrictions, Russia, Sanctions, Stablecoins, transactions, Ukraine, War

Do you expect crypto activity in Russia and Ukraine to increase even more if their military conflict deepens further? Share your thoughts on the subject in the comments section below.

Lubomir Tassev

Lubomir Tassev is a journalist from tech-savvy Eastern Europe who likes Hitchens’s quote: “Being a writer is what I am, rather than what I do.” Besides crypto, blockchain and fintech, international politics and economics are two other sources of inspiration.




Image Credits: Shutterstock, Pixabay, Wiki Commons

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

More Popular News

In Case You Missed It





Source link

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email
admin
  • Website

Related Posts

Crypto Exchange Bybit to Add New Restrictions for Unverified Users, Update Withdrawal Limits – Exchanges Bitcoin News

December 12, 2022

What is a Doji candle pattern and how to trade with it?

December 12, 2022

Bitcoin Price Slides As Markets Brace For Fed Policy Decision And Inflation Data

December 12, 2022

Comments are closed.

Don't Miss

BTC Price Is in a Range as It Pauses Above $23K Support

Blockchain February 4, 2023

Join Our Telegram channel to stay up to date on breaking news coverage Bitcoin Remains…

Bloktopia Metaverse Crypto Pumping New Land BLOK NFTs – RobotEra Presale Stronger Potential?

February 4, 2023

Biggest Crypto Gainers Today – February 3

February 4, 2023

FET/USD Reaches New High at $0.33 Level

February 3, 2023
Stay In Touch
  • Facebook
  • Twitter
  • Pinterest
  • Instagram
  • YouTube
  • Vimeo
Our Picks

BTC Price Is in a Range as It Pauses Above $23K Support

February 4, 2023

Bloktopia Metaverse Crypto Pumping New Land BLOK NFTs – RobotEra Presale Stronger Potential?

February 4, 2023

Biggest Crypto Gainers Today – February 3

February 4, 2023

FET/USD Reaches New High at $0.33 Level

February 3, 2023

Subscribe to Updates

Get the latest Crypto news from kronosslott.

About Us
About Us

Your source for the serious news. This website is crafted specifically to for crazy and hot cryptonews. Visit our main page for more tons of news.

We're social. Connect with us:

Facebook Twitter Pinterest YouTube WhatsApp
Categories
  • Altcoin (4)
  • Bitcoin (2,020)
  • Blockchain (839)
  • Ethereum (321)
  • Gambling (2,082)
  • Litecoin (59)
  • NFTs (2)
Our Picks

BTC Price Is in a Range as It Pauses Above $23K Support

February 4, 2023

Bloktopia Metaverse Crypto Pumping New Land BLOK NFTs – RobotEra Presale Stronger Potential?

February 4, 2023

Biggest Crypto Gainers Today – February 3

February 4, 2023
©2022 –Kronosslott. All Rights Reserved. Kronosslott.com is an independent i-Gaming news site and casino comparison service. Every effort is made to ensure that the bonus offers listed here are accurate and up-to-date. However, we accept no responsibility for inaccuracies or errors. It is your responsibility to confirm the terms of any promotion you choose to accept. Looking to Advertise with us? Kronosslott is always looking for new partnerships. To Inquire please email kronosslott@gmail.com

Type above and press Enter to search. Press Esc to cancel.