Russian Crypto Volume plunges to 50%!
Despite an increase in economic sanctions on Russia, the amount of crypto being purchased in rubles across major exchanges continues to fall.
Data from blockchain-analysis firms show that Russian denominated crypto purchasing and trading on major exchanges have faltered. Debunking theories show that the country will pivot to digital assets to circumvent sanctions.
In addition, Bitcoin rallied over 15% last week, and some industry experts attributed the surge to Russians buying cryptocurrency. This theory might be false. However, the data from Chainalysis showed that ruble-denominated crypto trading volume. It was just $34.1 million on March 3. Around half of a recent peak of $70.7 million a week ago on Feb. 24.
If we speak on the matter of the sanctions fueled crypto purchasing to Bloomberg, Citigroup analyst Alexander Saunders said,
“Russian crypto volume has been relatively small so far, suggesting that the price action is more due to investors positioning for an expected uptick in demand from Russia, rather than Russian demand itself.”
Furthermore, despite experts rejecting the idea that crypto will help Russia skirt economic sanctions. Moreover, the U.S. and the E.U. are still increasing their regulatory scrutiny of digital assets.
Russian Crypto Volume is dropping
Data from blockchain-analysis firms show that Russian denominated crypto purchasing and trading on major exchanges have faltered. Also, the debunking theories that the country will pivot to digital assets to circumvent sanctions.
When Bitcoin rallied over 15% last week, some industry experts attributed the surge to Russians buying cryptocurrency in the face of increasing economic sanctions. However, this theory might be false as data from Chainalysis showed that ruble-denominated crypto trading volume. It was just $34.1 million on March 3, around half of a recent peak of $70.7 million a week ago, Feb. 24.
Speaking on the matter of sanctions-fueled crypto purchasing to Bloomberg, Citigroup analyst Alexander Saunders said, “Russian volumes have been relatively small so far, suggesting that the price action is more due to investors positioning for an expected uptick in demand from Russia, rather than Russian demand itself.”
Despite experts rejecting the idea that crypto could be used to help Russia skirt economic sanctions. The U.S. and the E.U. are still increasing their regulatory scrutiny of digital assets.
Further echoing this sentiment was Ari Redbord, head of legal and government affairs at crypto crime investigator TRM Labs, stating that it’s too late for crypto assets to be able to provide enough liquidity for Russia and that the public nature of blockchains is already a sufficient deterrent for those seeking to circumvent sanctions.
