Ukraine Bitcoin exchange volume spikes 200% as Russia war sparks currency concerns

Data shows that Bitcoin ( BTC) trading volumes and altcoin volumes have risen at a major Ukrainian cryptocurrency exchange following Russia’s invasion.

According to the monitoring resource CoinGecko on February 24, Kuna volume almost tripled to more than $4 million

Ukrainians are interested in crypto

The impact of the conflict with Russia on fiat currencies was immediate upon its onset.

The Russian ruble was hit more. However, the Ukrainian Hryvnia fell as well, averaging 30 dollars per dollar, a new record low.

After much to-and fro between legislators, Ukraine ratified a law allowing cryptocurrency this month. Unsurprisingly, interest in alternative currencies soared.

Kuna, seven years old, saw the effect immediately. Her volumes were below $1 million on February 21st but nearly $4.1 million three days later.

According to CoinGecko data the initial rush has subsided, with the stabilizing fiat rates against the United States dollar and other major currencies.

Kuna’s rates were less clear, showing a curious spread between the Bitcoin spot price and these rates . BTC/USD was trading at $38,300 on Bitstamp. Kuna’s USD pairing was more than $40,000.

Stablecoin Tether ( USDT), however, was at $37 800 per Bitcoin.

Screenshot: Crypto trade volume of Kuna with the most popular pairs (screenshot). Source: CoinGecko

The central bank tightens currency restrictions

This week’s government currency controls provided another argument for Bitcoin entry.

Similar: Russian miners continue to run, may pivot to Bitcoin as a response to sanctions

The National Bank of Ukraine started restricting cash on Wednesday. It limited hryvnia withdraws to 100,000 UAH ($3,353) each day and banned cross-border currency purchases and withdrawals.

A Facebook post confirmed the bank was also seeking to stabilize the hryvnia currency exchange rate.

Russia’s central bank began intervening in forex markets Thursday to support its nosedive ruble. There have been several moves over the last 24 hours.

Opinion writer on 7trade7