Blockchain has taken the world by storm. It introduced a new of banking that had never been seen before.
The war between Ukraine and Russia has influenced the use of Crypto. The influence ranges from being advantageous and disadvantageous.
The war between Ukraine and Russia has been regarded as the biggest war since the World War II. The role of Crypto in this war is becoming clearer by day. Crypto is being used as a conflict currency and is used even more than exchanged based commodities like gold.
In fact, upon the beginning of the war cryptocurrency suffered a dip with Bitcoin falling to 35,000 but has since seen a 25% increase. Both Ukraine and Russia have witnessed economic turbulence.
The advantageous part of it is that due to the economic downfall the Ukrainian have faced, they have since converted their funds crypto and avoided the problem of carrying huge cash around. What this means is that as soon as they migrate to a new country, they can convert their digital assets into real currencies. It should however be noted they are subject to volatility.
Crypto is also being used a means of donation as people all over the world have donated 35million$ to support the Ukrainians in defending themselves while having enough to eat.
The disadvantage of Crypto the war effort is as a result of all the world leaders rejecting to do business with Russia. As the Ukrainian economy is in turmoil so is the Russian economy. The sanctions of the world leaders could be seen as an effort to freeze the Russian’s war chest. There have been efforts to bypass this sanctions using crypto but it hasn’t been possible as wallets are stored on the public blockchain. Additionally most crypto account have KYC and anti-money laundering protocol in place. Any Russian cut is asked to convey the crypto back to fist money.
The question remains, how can any bans on crypto movements by even the wealthiest Russians be enforced? Crypto is decentralized and based on anonymity, so even with some measures in place to thwart illicit activity, there will be Russians that generate income using crypto during the conflict. How much? Only time (and crypto price movements) will tell, but it will not be enough to save the Russian economy.
The truth is decentralized finance is currently playing a large role in the world economy. There is no better time to invest in it as the current events has seen it become even widely received than it used to. There are several currencies to invest in, cryptos like Bitcoin and Ethereum have been used for quite some time and are the faces of the crypto space. Cryptos like $Darc and polygon are steadily rising and are making waves and have had investors take advantage of their steady rise.
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