Crypto Donations for Ukraine Provide Flow of War-Related Help

Ukraine says it has received some unusual financial support in its fight against the Russian invasion: cryptocurrency donations.

People around the world have donated millions of dollars directly to Ukraine's war effort through cryptocurrencies such as bitcoin.

Crypto is a digital currency that only exists online. It works as an exchange medium through computer networks that are not controlled by any bank or government.

Ukrainian officials began calling for such donations in late February, shortly after Russia's invasion. Ukraine's government says it has taken in almost $67 million of its $200 million goal as of March 26.

Alex Bornyakov is the country's deputy minister for digital transformation¹. He wrote on the nation's donation website that "crypto is playing a significant role in Ukraine's defense²."

Ukraine has spent about $34 million of the funds received as of last week. It has turned about 80 percent of the donations into traditional money. It used the remainder with merchants that already accept cryptocurrencies, Bornyakov said in an email.

Michael Chobanian is the founder³ of a Ukrainian cryptocurrency exchange. He is one of several people helping⁴ the Ukrainian government manage the donations through an informal agreement, Bornyakov confirmed.

"We are buying so much stuff that is saving lives every single day and also are stopping the aggression⁵, so it's a beginning of the new world," Chobanian said in a voice message sent through the app Telegram.

Chobanian said he was not receiving payment for his work. But he noted⁶ that some of the funds are being converted through his cryptocurrency exchange Kuna.

"It's certainly a first," said Bennett Tomlin. He investigates cryptocurrency scams. "We've never seen a sovereign nation fund their defense efforts in crypto before," Tomlin added.

Officials have said that the speed with which they can use cryptocurrency donations has made them useful. The downside of such speed and ease is that cryptocurrencies are the currency of choice for criminal networks.

The publicity⁷ around Ukraine's call for donations has attracted scammers – people who get money for themselves through dishonesty and trickery.

Hilary Alley⁸ is a professor at American University's law school in Washington, D.C. She has written a book about the risks of cryptocurrencies. She said anyone who donates should carefully look at all the actors involved.

"Who is receiving the crypto? Who will be converting the crypto? You need to be thinking about them the same way you'd be thinking about any other charity or nonprofit you are donating to because they are intermediaries in just the same way," Alley said.

Many of the donations to Ukraine's accounts can be confirmed on public tools that follow the path of cryptocurrency dealings.

Tuan Phan is a cybersecurity professional. He examined the flow of money to and from some of Ukraine's accounts. He did this in part because he wanted to make a donation himself. Born in Vietnam, he said he was eight years old when North Vietnamese Communist forces took Saigon in 1975.

"I'm old enough to remember what happened, so I'm very empathetic to the Ukrainians," Phan said. "I wanted to make sure the address where I'm sending my donation is landing in the right places. There are lots of scams going on, so you have to be extra careful."

Words in this Story

currency - n. the money that a country uses; a specific kind of money

transformation - n. a complete or major change in someone's or something's appearance, form, etc.

significant - adj. large enough to be noticed or have an effect

funds - n. available money

merchant - n. someone who buys and sells goods especially in large amounts

convert - v. to change (something) into a different form or so that it can be used in a different way

scam - n. a dishonest way to make money by deceiving people

intermediary - n. a person who works with opposing sides in an argument or dispute in order to bring about an agreement

empathetic - n. showing an ability to understand and share the feelings of another

1 transformation   

n.变化；改造；转变

参考例句：

• Going to college brought about a dramatic transformation in her outlook.上大学使她的观念发生了巨大的变化。
• He was struggling to make the transformation from single man to responsible husband.他正在努力使自己由单身汉变为可靠的丈夫。

2 defense   

n.防御，保卫；[pl.]防务工事；辩护，答辩

参考例句：

• The accused has the right to defense.被告人有权获得辩护。
• The war has impacted the area with military and defense workers.战争使那个地区挤满了军队和防御工程人员。

3 Founder   

n.创始者，缔造者

参考例句：

• He was extolled as the founder of their Florentine school.他被称颂为佛罗伦萨画派的鼻祖。
• According to the old tradition,Romulus was the founder of Rome.按照古老的传说，罗穆卢斯是古罗马的建国者。

4 helping   

n.食物的一份&adj.帮助人的，辅助的

参考例句：

• The poor children regularly pony up for a second helping of my hamburger. 那些可怜的孩子们总是要求我把我的汉堡包再给他们一份。
• By doing this, they may at times be helping to restore competition. 这样一来, 他在某些时候,有助于竞争的加强。

5 aggression   

n.进攻，侵略，侵犯，侵害

参考例句：

• So long as we are firmly united, we need fear no aggression.只要我们紧密地团结，就不必惧怕外来侵略。
• Her view is that aggression is part of human nature.她认为攻击性是人类本性的一部份。

6 noted   

adj.著名的，知名的

参考例句：

• The local hotel is noted for its good table.当地的那家酒店以餐食精美而著称。
• Jim is noted for arriving late for work.吉姆上班迟到出了名。

7 publicity   

n.众所周知，闻名；宣传，广告

参考例句：

• The singer star's marriage got a lot of publicity.这位歌星的婚事引起了公众的关注。
• He dismissed the event as just a publicity gimmick.他不理会这件事，只当它是一种宣传手法。

8 alley   

n.小巷，胡同；小径，小路

参考例句：

• We live in the same alley.我们住在同一条小巷里。
• The blind alley ended in a brick wall.这条死胡同的尽头是砖墙。