Amidst the unprecedented military buildup on its border, Ukraine has legalized crypto. The country gave official recognition to the cryptocurrency on Thursday, February 17, 2022. While most central banks, such as Nigeria’s central bank, have been wary of crypto, some have accepted crypto coins. A good example of this is El Salvador, which recently recognized Bitcoin as legal tender in the country.
Cryptocurrencies Given Official Recognition
The news was confirmed by the Vice Prime Minister of Ukraine Mykhailo Fedorov via a tweet. In the tweet, Fedorov confirmed that Ukraine would legalize crypto exchanges and cryptocurrencies. Ukraine’s government portal reported on Thursday, February 17, 2022, that a new law had been passed giving official recognition to digital assets like Bitcoin. The bill was set in motion in 2020. However, the new law does not place Bitcoin at par with the country’s national currency.
Growing Popularity Of Bitcoin
In a report by Elliptic, a blockchain analysis firm, it was found that amidst rising Russia-Ukraine tensions, payments to Ukrainian volunteer organizations have surged. Most of these funds were being sent as crypto. The Elliptic report found that volunteer groups in Ukraine had received over $570,000 in crypto in 2021 alone. With the rising popularity of Bitcoin in the nation, the national government may have seen it as beneficial to give it official status.
The report found that digital currencies were becoming a popular medium for raising funds by volunteer organizations due to their anonymity. As a result, they make it possible for groups to receive funding even where financial institutions do not support them. On the other side of the border in Russia, the government passed laws recognizing crypto as a type of currency similar to foreign currencies, instead of just a digital asset.
Tension has been rising on the Ukrainian border after reports emerged that there were over 100 thousand Russian troops close to the Ukrainian border. While Russia has denied reports that it will invade Ukraine, the tensions have led to various volunteer groups being created to fight off any possible Russian invasion. These volunteer groups have been engaging in fundraising drives, including using crypto.
Twitter Expands Crypto Payment Options For Users
On Wednesday, February 16, 2022, Twitter revealed that users could now get tipped in two crypto coins. Twitter’s tipping feature first came to be in May 2021. In September that same year, the platform rolled out the feature to all iOS and Android users. At the same time, it added the option to tip in Bitcoin. The latest announcement has seen Twitter expand its crypto tipping options to include Bitcoin and Ethereum. Other traditional payment options like Patreon, Venom, and Cash App will still be available.
The rollout of the new features comes amidst Jack Dorsey’s departure from the social media giant. In the past, Dorsey had expressed his distaste for other cryptocurrencies besides Bitcoin. Dorsey even suggested that Ethereum was centralized and driven by corporate-controlled lies. This is likely not a coincidence given how opposed to other cryptocurrencies Dorsey was.
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