Ukrainian officials declare bitcoins worth almost US$2.7 bln – OpenDataBot

OpenDataBot, a business data registration monitoring service, says 652 Ukrainian officials declared cryptocurrency for 2020 as of March 31, in particular, they indicated 46,351 bitcoins worth almost UAH 75 billion, or US$2.7 billion.

"Most bitcoin owners work in local councils, the Defense Ministry, and the police. A member of Dnipro City Council declared the highest number, that is 18,000 bitcoins (more than US$1 billion in the equivalent)," OpenDataBot's press service said on its website on April 7.

Read alsoBloomberg: Bitcoin jumps toward $9,000 in best-performing month since 2017The number of officials declaring bitcoins has increased significantly. Thus, a mere 25 officials declared cryptocurrency in 2016, against 652 in 2020.

Cryptocurrencies in Ukraine don't have legal status yet. So, it's impossible to trace their origin and any relevant financial transactions.

Bitcoin memo

Bitcoin is a digital currency, the concept of which was voiced by Satoshi Nakamoto in 2008 and introduced in 2009, based on his self-published document.

Initially, the cryptocurrency cost only a few cents and attracted almost no public attention. However, the bitcoin exchange rate surpassed the US$1,000 mark for the first time in 2013.

The year 2017 became a milestone for this cryptocurrency. A bitcoin cost US$1,000 at the beginning of year. Then its rate grew every month, confidently approaching US$20,000 per bitcoin.

Cryptocurrency rate: Background

• In February 2020, bitcoin grew steadily against the background of falling global stock markets. On February 9, the price of cryptocurrency crossed the mark of US$10,000 per bitcoin for the first time since October 2019.
• The cryptocurrency price on March 13, 2020 dropped by 32% to US$3,915, which hit its lowest since March 2019.
• Bitcoin Halving took place on May 11, 2020. This mechanism's key task was laid down in the blockchain network protocol more than a decade ago, that is, to control the issuance of cryptocurrency and curb its inflation.
• U.S. stock indices Dow Jones Industrial Average, Nasdaq, and S&P 500 fell by 9.5% in trading on March 12. It was a record drop since October 19, 1987, known as Black Monday.
• As of July 28, 2020, since the beginning of the COVID-19 quarantine, bitcoin tripled in price.
• As of October 21, 2020, the bitcoin exchange rate, which collapsed in early September, reached US$12,291 per coin.
• On October 22, 2020, the value of bitcoin rose to an annual maximum.
• On November 4, 2020, the day of the U.S. presidential election, the bitcoin rate rose above US$14,000.
• On November 18, 2020, the price of bitcoin exceeded US$18,000 for the first time since December 2017.
• On December 16, 2020, bitcoin set three records at once.
• On December 30, 2020, the bitcoin forex rate rose to US$29,000.
• As of January 8, 2021, the rate exceeded US$40,000 per bitcoin.
• On February 19, 2021, Elon Musk shared that owning bitcoin was only a little better than holding conventional cash.
• On February 22, 2021, the price of the cryptocurrency exceeded US$58,000 per bitcoin.
• On March 9, 2021, the capitalization of bitcoin exceeded US$1 trillion.
• As of April 6, 2021, the capitalization of all cryptocurrencies worldwide exceeded US$2 trillion.

Bitcoin in Ukraine

Ukraine's Minister for Digital Transformation presented a new edutainment series, titled "All about Blockchain, Bitcoin, and Cryptocurrencies" on the Diia.Tsifrova Osvita platform.

Ukrainian citizens have filed 172,000 declarations of assets and income worth UAH 29.2 million (US$1.05 million) since the start of the declaration campaign, which will end on April 30.