Putin's Ukraine Invasion: Effect on Cryptocurrency?

[DrBeer]

The terrorist war launched by Russia against Ukraine has no significant and direct impact on cryptocurrency.

I was watching the market, and I assumed that the economic destabilization on a global scale, which became the cause of economic terrorism of russia in some markets (primarily - oil and gas market), could provoke the withdrawal of funds to "safe havens" such as gold and, I assumed, cryptocurrencies. But as practice has shown, the world economy, this time and in this situation, did not consider cryptocurrencies as the "safe haven" to wait out the "economic storm on the planet".

[Alcor]

The terrorist war launched by Russia against Ukraine has no significant and direct impact on cryptocurrency.

I was watching the market, and I assumed that the economic destabilization on a global scale, which became the cause of economic terrorism of russia in some markets (primarily - oil and gas market), could provoke the withdrawal of funds to "safe havens" such as gold and, I assumed, cryptocurrencies. But as practice has shown, the world economy, this time and in this situation, did not consider cryptocurrencies as the "safe haven" to wait out the "economic storm on the planet".

The transfer of funds from national money and, above all, from rubles to cryptocurrency, may now be happening, but not at the level of states, but at the level of Russian citizens. But in Russia itself it is unlikely that such statistics will be published. Everything that does not contribute to the propaganda of war and the far-fetched stabilization and development of the economy is prohibited or hidden there. But such a process must take place, if only because many Russian citizens are leaving their country and exporting their capital. And the best way to do this is in cryptocurrency.

[DrBeer]

The terrorist war launched by Russia against Ukraine has no significant and direct impact on cryptocurrency.

I was watching the market, and I assumed that the economic destabilization on a global scale, which became the cause of economic terrorism of russia in some markets (primarily - oil and gas market), could provoke the withdrawal of funds to "safe havens" such as gold and, I assumed, cryptocurrencies. But as practice has shown, the world economy, this time and in this situation, did not consider cryptocurrencies as the "safe haven" to wait out the "economic storm on the planet".

The transfer of funds from national money and, above all, from rubles to cryptocurrency, may now be happening, but not at the level of states, but at the level of Russian citizens. But in Russia itself it is unlikely that such statistics will be published. Everything that does not contribute to the propaganda of war and the far-fetched stabilization and development of the economy is prohibited or hidden there. But such a process must take place, if only because many Russian citizens are leaving their country and exporting their capital. And the best way to do this is in cryptocurrency.

The idea you have voiced is very correct, but the facts tell a different story:
1. For example, Russia at the state level sponsors Hamas with the help of cryptocurrency, in 2023 were transferred crypto-assets in the equivalent of many tens of millions of dollars. This is the part that has come to light.
2. Russia's legislative framework says: The State Duma approved in its third and final reading a law banning the use of digital financial assets as a means of payment in Russia. Until now, the legislation did not explicitly prohibit such transactions
The State Duma has passed in the third and final reading a law banning the use of digital financial assets (DFA) and partially utilized digital rights (UCR) as a means of payment in Russia. This follows from the card of the bill in the State Duma database.
According to the law, it should be prohibited to transfer or accept DFAs as a counter-presentation for transferred goods, work performed or services rendered and as other means of payment.
And this means that citizens of the country cannot OFFICIALLY use crypto-assets and carry out any actions with them. Such restrictions were introduced precisely to prevent money from flowing out of the degrading economy.

[TopT3ns]

The transfer of funds from national money and, above all, from rubles to cryptocurrency, may now be happening, but not at the level of states, but at the level of Russian citizens. But in Russia itself it is unlikely that such statistics will be published. Everything that does not contribute to the propaganda of war and the far-fetched stabilization and development of the economy is prohibited or hidden there. But such a process must take place, if only because many Russian citizens are leaving their country and exporting their capital. And the best way to do this is in cryptocurrency.

A very possible option is to use cryptocurrency, but it should be noted that other countries must be able to accept the fact of using Russian currency to carry out oil purchase transactions in Russia because cryptocurrency price movements are not always good and are very risky because the price is very fluctuating.

[Jaephoenix]

The Russians invading Ukraine has taken different angles now. Russians now even accept crypto payments bypassing the economic embargo that the US and the Western world placed on it. So those the US SEC is now reigning in now hard on crypto as we see

[DrBeer]

The Russians invading Ukraine has taken different angles now. Russians now even accept crypto payments bypassing the economic embargo that the US and the Western world placed on it. So those the US SEC is now reigning in now hard on crypto as we see

There are two nuances here:
SEC regulates the management of securities, and since cryptocurrencies are not recognized as money but surrogates, they also fall under SEC regulation.

The SEC's objectives are certainly far from "ideal", such as reducing investor risks, and go much further. For example, to create barrier mechanisms for the illegal circulation of surrogates, with the possibility of their conversion into fiat currencies. And there are two main directions here - to create such problems for the countries under sanctions, which are trying to circumvent sanctions in this way, and other criminal organizations that use this mechanism (cryptocurrencies) to try to circumvent the legislation and hide the traces of their criminal actions. So we have 2 entities to thank for limiting our freedoms in the crypto world - rogue countries/terrorists/criminals and criminal organizations/communities/politicians. It is "thanks" to their actions that the entire crypto industry suffers, due to heavy pressure and regulation

[TopT3ns]

The Russians invading Ukraine has taken different angles now. Russians now even accept crypto payments bypassing the economic embargo that the US and the Western world placed on it. So those the US SEC is now reigning in now hard on crypto as we see

There is no other choice but to use Cryptocurrency because so far the best way when it is prohibited to use USD to purchase basic necessities in Russia is to implement Cryptocurrency as an alternative payment that can make transactions easier. With this policy, it should be able to provide benefits for Cryptocurrency users because the exchange value will definitely increase to become very expensive.

[Senin]

The Russians invading Ukraine has taken different angles now. Russians now even accept crypto payments bypassing the economic embargo that the US and the Western world placed on it. So those the US SEC is now reigning in now hard on crypto as we see

There is no other choice but to use Cryptocurrency because so far the best way when it is prohibited to use USD to purchase basic necessities in Russia is to implement Cryptocurrency as an alternative payment that can make transactions easier. With this policy, it should be able to provide benefits for Cryptocurrency users because the exchange value will definitely increase to become very expensive.

But Russia has passed a law that prohibits the use of cryptocurrency as a means of payment. The Kremlin will not deviate from this position and will not allow ordinary citizens to freely move the capital that the Kremlin needs to finance the war in Ukraine.

If necessary, government agencies themselves can circumvent their laws regarding prohibitions and restrictions on the use of cryptocurrencies, but citizens will be obliged to comply with them.

[bitterguy28]

The war is taking long but the people of Ukraine is still fighting for their rights , Russia have shown their power yet the opposing country is standing strong .
the effect in crypto is just a short period because looking in to it now? the war is still on but the crypto market is showing strong movement specially now 2024 that the climbing is continuing opposite for what we expect that may dump in the early month.

[DrBeer]

The war is taking long but the people of Ukraine is still fighting for their rights , Russia have shown their power yet the opposing country is standing strong .
the effect in crypto is just a short period because looking in to it now? the war is still on but the crypto market is showing strong movement specially now 2024 that the climbing is continuing opposite for what we expect that may dump in the early month.

"It is not great men who do evil, but lowlifes who try to be great." (с) John Robert Fowles

Russia is not "strong" - it is mean, criminal, breaking always and everywhere all agreements and promises ! And the only "advantage" of Russia in the current situation is its huge population, which is worthless to the ruler. Now 90% of all offensives of the "second army of the world" are conducted by primitive throwing "cannon fodder" at AFU positions. Ukraine's problem is limited stockpiles of weapons, otherwise "Tryzub" on the yellow and blue flag would have been developing over the Kremlin long ago .

Regarding the main topic - I have already said - this war has no noticeable impact on the crypto market, for several reasons:
- the demand for cryptocurrency has not increased, because even mutual settlements between pariah countries, has limited demand, due to the tightening of rules on exchanges, to withdraw assets in dollars or euros has become very and very difficult, or through "unofficial channels" - very expensive.
- The rest of the world, in such situations, chooses more "stable" objects to save money - for example, gold, or for example, investments in shares of military-industrial companies, in this situation it is much safer and more profitable.

[Alcor]

The war is taking long but the people of Ukraine is still fighting for their rights , Russia have shown their power yet the opposing country is standing strong .
the effect in crypto is just a short period because looking in to it now? the war is still on but the crypto market is showing strong movement specially now 2024 that the climbing is continuing opposite for what we expect that may dump in the early month.

In the war against Ukraine, Russia demonstrated its weakness, not its strength. All states, without exception, were confident that in a short time Russia would capture Kyiv and the entire territory of Ukraine. But that did not happen. Due to the massive invasion of armored vehicles simultaneously from the north (from the territory of Belarus), east and south, in the first days Russian troops were even able to approach the outskirts of Kiev, but then received such a rebuff that after two months they were forced to hastily withdraw their half-defeated armies from the northern and central parts of Ukraine. After this, the Ukrainian Armed Forces liberated more than 50 percent of the occupied territory of Ukraine and continue to provide worthy resistance to the aggressor.

Russian military equipment also showed its worst side on the battlefield. Western weapons turned out to be much longer-range, more accurate and more effective than Russian ones, as a result of which Russia began to massively lose orders for the sale of its military equipment.

As a result, Russia lost its former influence on global global processes; the world no longer feared or respected it.

As for cryptocurrency, the war has had virtually no noticeable impact on it yet. But in the future this situation may change.