Ukraine is currently in the sixth day of Russia’s invasion, this invasion has caused global attention and threatens to change the world order. Just like any assets, the encrypted currency market has also been affected. Due to uncertainty, it has affected harmful. However, this invasion has brought more positive long-term prospects to encrypting currencies.
Ukraine is a country that is bordering Russia, also a member of the former Soviet Union. In the past 30 years, it has been playing voying to the East and Western loyalty. Recently, Ukrainian citizens and governments have been more intensive with Western and NATO, Russia think this is a threat, because they don’t want NATO military and base to be so close to their borders.
In 2014, the unlicensed split molecules in Russia controlled two regions near the border. Russia recognizes that these organizations are independent and to invade this region with this. Ukraine is like most countries in the world, opposing Russia, and has been helping Ukraine counters.
When there is an invading message, the stock market has fallen sharply because the war will end how the uncertainty is frightened. The encrypted monetary market is a natural extension of the stock market and is also facing a large shrinkage of value. During uncertainty, risk investment becomes less favorable compared to the risk assets such as gold and other commodities. This is unfortunate, because some people regard the encrypted currency as a tool to rush other assets, but investors’ behaviors are not the case.
On February 26th, Ukraine official tweet account released a pusher, raised the donation of Equity, Bitcoin and USDT encrypted currency. Of course, many people think that this account is invaded by hackers, but later confirming that these addresses are legal, anyone can donate to help the country to fight. Just two days later, they received more than $ 16 million of encrypted currency donations, which will definitely have a significant impact on war or rescue work.
This new use case of encryption is a way to receive donations from anyone in any of the world, it represents the key principle of encrypted currency as a currency form of going to center and trust.
In addition, after the sanctions of major governments and entities, Russia discovered that they were unable to transfer funds through the International Banking System. This leads to some people to speculate that they will use encrypted currency as a means to avoid sanctions and are still transactions in global business. However, as indicated by the general manager of RIPPLENET Asheesh Birla, encrypting currency and its transparency and lack of liquidity, not sufficient to replace Russia’s current banking transactions.
Encrypted currency helps those who have been invaded, while hurt those people trying to avoid international sanctions and intrusion. Although the price of encrypted currency has been negatively affected in the short term, this incident shows two different ways of encrypting currencies affect society globally. Over time, encrypted currency becomes more common, these use cases will become more common, encrypted currencies will be closer to a true global, digitized, detrimentally to the goal of currency.