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- After the Russian invasion of Ukraine, more people are putting their money into cryptocurrencies. Trading volumes between Bitcoin and the Russian ruble hit a nine-month high.
- Thursday reports suggest the volume of RUB up to the highest since May 2021, i.e.,1.5 billion. The majority of the activities of the surge happened on Binance, according to a Kaiko analyst.
- As per the data from Kiako, the trading volume for USDT/RUB surged, reaching an 8-month high of 1.3 million.
In recent years, more and more individuals have embraced cryptocurrencies for protecting and securing fiat currencies. With the ongoing Russian invasion of Ukraine, more people are getting attracted to cryptocurrencies as the traditional financial services stop. Trading volumes between Bitcoin and the Russian ruble reach nine-month highs. This has resulted in a substantial drop in the country’s national currency.
The high surge of ruble-denominated Bitcoin volume, according to a crypto research firm based in Paris, Kaiko. Meanwhile, the reports published on Thursday suggested the volume of RUB up to 1.5 billion, the highest since May 2021.
An analyst at Kaiko, Clara Medailem, says Binance accounts for most of the activities behind the surge.
As reported earlier, there is also an increase in the trading volume of Bitcoin-Ukraine hryvnia, although it failed to reach the high volumes in October 2021. LocalBitcoin and Binance constituted for the BTC-UAH main trades.
Why Are Bitcoin Crypto Trading Volumes Rising?
Medalie noted similar patterns for both tether-ruble and tether-hryvnia trading volumes. The trading volume for USDT/RUB exploded on Thursday, reaching 1.3 billion, an 8-month high, according to the data from Kaiko.
There is a fear among investors that the West might place stricter sanctions on the country, which could have an impact on the value of RUB. The recent surge in the trading volume of ruble-based digital assets is because the investors are hurrying to wade out from the rubble.
RUB, the Russian fiat currency, further dropped by an additional 28% in the initial hours, from last week’s 8% dip to 90 per USD. According to Bloomberg, the value is recorded at 118 per USD. U.S. Treasuries, gold, USD, and Swiss franc, are other beneficiaries of Russian investors’ safety flight.
The West and its allies put disciplinary measures on Russia to limit the Russian bank’s access to SWIFT. Besides, the European Union also banned the central bank of Russia from all transactions, preventing it from selling international assets that could support its banks.
According to the recent reports, the Russian central bank had already given the information to the brokers about the ban of selling securities on non-resident investors. Russian President Vladimir Putin also ordered the increased alertness from the national nuclear deterrence force by the early hours of Monday.
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Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.
