Millions of dollars in cryptocurrencies have been donated to the Ukrainian military since the Russian invasion began, according to estimates from blockchain analytics firm Elliptic.
The data indicate that nonprofit organizations and volunteer groups have raised $4.7 million in cryptocurrencies, including a single donation of about $3 million made on Friday, since the invasion of Ukrainian territory began.
The role of cryptocurrencies in the Russian-Ukrainian conflict
Elliptic’s report explains that volunteer groups have played a pivotal role in the Russian-Ukrainian conflict over the past decade, funded by private donors and linked to the Ukrainian government, and have used bank transfers and payment apps to donate millions of dollars to the cause.
“Cryptoassets such as Bitcoin have emerged as an important alternative crowdfunding method,” reads the report. “They allow quick, cross-border donations, which bypass financial institutions that might be blocking payments to these groups.”
This Thursday alone, one NGO received more than $675,000 in bitcoin and, by Friday morning, that number had soared to more than $3.4 million.Tom Robinson, the chief scientist at Elliptic, noted that cryptocurrency giving is “particularly suited” for international fundraising since this modality “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.”