On 3 March, Ukraine announced an airdrop of cryptocurrency as part of its fundraising efforts to defend itself against the Russian invasion.
In general, crypto airdrops are used to send free tokens of digital currencies to people in order to encourage the adoption of the currency. However, it is still not clear how Ukraine's airdrop will look. An appeal made over the weekend by Ukraine on social media led to the country receiving around $33 million dollars in bitcoin and other cryptocurrencies.
- An appeal made over the weekend by Ukraine on social media led to the country receiving around $33 million dollars in bitcoin and other cryptocurrencies.
- A total of $33 million had already been donated in crypto to the Ukrainian war effort before the airdrop.
- The details of Ukraine's airdrop are still unknown. Ukraine has announced that any Russian soldier who surrenders would receive approximately $48,000 for his service. Crypto may play an important role in this process.
- It has been stated by the Ukrainian tax authorities that captured Russian equipment such as tanks are not taxable income because they were acquired "not through any kind of transaction."
- In Ukraine, airdrops are most likely taxable for residents under current guidance. In regards to the tax liability of a captured Russian tank, the tax authorities have not been clear.