War Has Begun in Ukraine: What This Means for Crypto
Chaos in Ukraine
Tensions between Russia and Ukraine brought on by the Kremlin have been rising for a long time. In recent weeks, the US has been sending senior diplomats like Secretary of State Antony Blinken overseas in an attempt to negotiate with the Russians before all hell would break loose. These negotiations never resulted in anything substantive. Ukrainian President Zelenskyy has also tried to prevent the invasion; however, his efforts have led to little resolution as well.
Wednesday night, Russian president Vladimir Putin made the decision to invade Ukraine. Reports by mainstream media outlets are saying that explosions around the country from the Russian military have already resulted in multiple fatalities. Previous to these attacks, all that came out of Vladimir Putin was words.
Various countries in NATO such as the US, Canada, and the UK have already put sanctions on Russia.
This is about the only thing that they can do currently. Vladimir Putin stated that if another entity was to launch a military retaliation, Russia would respond like no one in history has. That does not sound very positive. Regardless, it is very doubtful that Putin even cares about the sanctions.
Crypto is better than ever
Naturally, when news of World War 3 like this spreads, financial instruments go down in price. It is no different with crypto. At the time of writing this, Bitcoin is holding a support around $35,000 while Ethereum is hovering around $2,400. The top two cryptocurrencies are down around 16% this week.
In a nice turn of events, crypto is being utilized in Ukraine to help. UkraineDAO was started recently to raise ETH for civilians. Vitalik Buterin himself is Russian. In his native tongue, he condemned his mother country on Twitter.
Past World War 3 and the collapse of crypto prices, nothing with the industry itself has changed. In fact, things are better than ever; Various US states and countries are considering to make Bitcoin legal tender. Vitalik and his team have been taking a very long time, but there are rumors that Ethereum is within months of the proof of stake merge from proof of work.
Investors who have been through bear markets know that the best course of action is to always remain calm. It is important to remember that most people complain in a bull market about prices being too expensive. Now is the time to buy the dip with spare fiat and HODL your existing bags. Despite the troubling events circulating in Europe, crypto has weathered worse. The future looks bright despite this bump in the road.