According to a report originating from blockchain intelligence firm Chainalysis, the company “collectively received over $2.2 million worth of cryptocurrency” 54 pro-Russian groups Identified. Ukrainian paramilitary groups received primarily Bitcoin and Ether donations, but also Tether, Litecoin, and Dogcoin as well, the Chainalysis study detailed.
$2.2 million in crypto was sent to pro-Russian groups located in Ukraine, Chainalysis said
Chainalysisbelieves that crypto assets worth more than $2.2 million were acquired by a pro-Russian paramilitary group located in the Donbass region of Ukraine. More specifically, Chainalysis states that the recipient was located in Donetsk and Luhansk.
The Donbass and the Donetsk and Luhansk regions of Ukraine have been in conflict for quite some time. Separatists claim that Donbassdeclared independencefrom Kiev in 2014, and pro-Russian military groups agree with the separatists’ declaration. Astudyby a blockchain intelligence firmnotes that it has found roughly 54 pro-Russian groups that have obtained donations in crypto assets.
“Most of the cryptocurrency donated so far has gone to only a few organizations in particular.” The Chainalysis report explains.” But many more are still receiving amounts to consider: five organizations have received more than $100,000, 17 have received more than $10,000, and 35 have received cryptocurrency worth more than $1,000.”
Since the start of the Ukrainian-Russian war in February, 54 pro-Russian organizations in the Donbass region have received $1.45M in Bitcoin (BTC) donations and $590K in Ethereum (ETH) donations.
“Accounts that support the militia often publish photos of equipment purchased and descriptions of how future donations will be used.” The Chainalysis report states, accompanied by photos of military equipment purchased in crypto.” Sometimes the contributions even itemize the purchases,” the Chainalysis researcher writes.
Chainalysis states that on-chain data can “provide insight into pro-Russian activities”
On July 29, 2022, as the war between Ukraine and Russia continues unabated, Chainalysis news was announced. Recently, certain mining studies have shown that Russia is a popular destination for miners of crypto assets; a study published by Intelion Data Systems found that crypto miners are flocking to Moscow and Moscow Oblast, Karelia, and Buryatia.
Additionally, many believe that Russia, China, and the BRICS nations are targeting the perceived hegemony of the US dollar by creating a new international reserve currency. Just recently, both Russia and Ukraine exchanged accusations about a deadly attack on a prison camp in a separatist region of Ukraine.
The Chainalysis report further states that funds have been sent to persons on the U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) sanctions list. For example, “Alexander Zhuchkovsky, an OFAC-designated Russian, uses social media to solicit donations for the Russian Empire movement.” The following is a list of his activities.
$2.2 million in crypto is a significant amount of money, but Chainalysis researchers have said that the information is useful.” Because the public blockchain is transparent, each transfer in the payment chain for these accounts can be tracked, providing insight into pro-Russian activity that would be difficult to extract from a fiat currency study.” The company’s report concludes.
What do you think about the recently released Chainalysis report discussing the $2.2 million sent to pro-Russian groups in Ukraine? Let us know what you think about this subject in the comments section below.
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