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

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

Monitoring resource CoinGecko reports that Kuna volume almost tripled to $4 million on February 24, according to CoinGecko.

Ukrainians are interested in crypto

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

The Russian ruble was affected more than the Ukrainian hryvnia, which fell to 30 dollars per dollar, a new record low.

After much debate between legislators, Ukraine ratified a law allowing cryptocurrency to be used in its currency. Unsurprisingly, the interest in alternative currencies soared.

This was evident at Kuna, seven years old. 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 stabilization of fiat rates against the U.S. Dollar and other major currencies.

Kuna’s rates were less clear, with a curious spread on either side of Bitcoin spot price. BTC/USD was trading at $38,300 on Bitstamp. Kuna’s USD pairing was more than $40,000.

The price of Stablecoin Tether was $37,800 for 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.

Related: Russian miners continue to run, could 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 that Bank was also seeking to stabilize the hryvnia currency exchange rate.

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