Ukraine and Russia lead crypto transactions in Eastern Europe

Despite geopolitical challenges, Russia and Ukraine are leading in transaction values, with Russia receiving over $182 billion and Ukraine over $106 billion.
Crypto.com’s decision to mint 70 billion CRO tokens has sparked controversy, with critics questioning the exchange’s financial stability and transparency.

Eastern Europe is witnessing a significant increase in cryptocurrency activity, with over $499 billion in digital assets received between July 2023 and June 2024, according to a report from Chainalysis. Notably, decentralized finance (DeFi) activities contributed more than $165 billion to this total, accounting for about one-third of the region’s cryptocurrency transactions. This surge has propelled Eastern Europe to become the fourth-largest cryptocurrency market globally, representing over 11% of total crypto value received worldwide.

Despite the ongoing war and international sanctions, both Russia and Ukraine are leading in crypto transaction values, with Russia receiving over $182 billion and Ukraine over $106 billion. The report indicates that large institutional transfers significantly drive Ukraine’s market growth, as investors seek financial stability amid turmoil. Local exchanges like WhiteBIT remain active, facilitating a surge in professional transfers, which have been influenced by global market volatility and inflation.

In Ukraine, the rise in Bitcoin transactions has been particularly notable, with purchases using the national currency, the hryvnia, exceeding $882 million in the past year. This trend follows a period of high inflation, which peaked at over 26% in December 2022, prompting many Ukrainians to view Bitcoin as a safer alternative for storing value.