Chainalysis, an analytical company, has revealed that donations worth $70 million in cryptocurrencies have been made to help the Ukrainian army and victims since the beginning of Russia’s hostilities in Ukraine.
The majority of the donations, worth $22.8 million, were made in Bitcoin, while USDT donations amounted to $11.6 million.
However, donations in other stablecoins, such as USDC and DAI, were less popular, totaling $1.25 million and $1.08 million, respectively. Other assets also saw donations totaling $191,128.
Chainalysis
According to analysts, a significant portion of the donated $70 million, amounting to 80%, was transferred to Ukraine during the first few months after February 24, 2022, with a notable slowdown in the inflow of funds thereafter.
Alex Bornyakov, Deputy Minister of Digital Transformation of Ukraine, stated that if traditional financial systems were used, it would take days to purchase goods, but with cryptocurrency, everything is much faster.
He further mentioned that 60% of suppliers accept cryptocurrencies for payment, which was surprising. Bornyakov emphasized that the use of cryptocurrencies has proved to be extremely convenient for the ministry, and fundraising in digital assets has been an “absolute success.”
According to Chainalysis specialists, pro-Russian groups also use cryptocurrencies for fundraising. Around 100 such groups raised $5.4 million in donations to purchase various military equipment, with the most successful months being March, June, and July 2022.
Representatives of Sberbank have previously reported that half a billion rubles in cryptocurrency were transferred from Moscow stock exchanges to Ukraine.