Key Takeaways
- The Russian Federation has declared WhiteBIT cryptocurrency exchange, as well as its affiliated organizations, ‘undesirable’.
- The exchange is alleged to have transferred approximately $11 million in support of Ukraine Armed Forces.
- Despite this ban, WhiteBIT maintains its pro-Ukraine stance and is focused on expanding its operations worldwide.
Russia has barred crypto exchange WhiteBIT from operating in its country. This comes after prosecutors labelled the platform as well as its affiliated and subsidiary organizations as ‘undesirable’ over allegations tied to support for Ukraine’s war efforts.
The announcement came from the Prosecutor General’s Office of the Russian Federation. It alleged the exchange funded Ukrainian Armed Forces, facilitated ‘gray’ schemes and other illegal activities.
Exchange Accused of Financing the Ukrainian Forces
According to the Russian authorities, since the beginning of their war with Ukraine in 2022, WhiteBIT crypto exchange has donated a total of approximately $11 million in support of the Ukrainian Armed Forces. Of that total, $900,000 was allocated for the purchase of drone systems for the forces and Azov, an organization that has also been considered a terrorist group in Russia.
The office alleged that the exchange was also part of a ‘grey’ scheme designed to move money out of Russian territory. In addition, the exchange is said to be collaborating with the Ministry of Foreign Affairs of Ukraine through United24, a fundraising platform created to collect cryptocurrency donations for Ukraine.
All these connections contributed to the decision to label the exchange as ‘undesirable’. In Russia, laws dictate that organizations with such labels must cease operations in the country. Any individual or group found to be cooperating with them is subject to fines or criminal charges carrying a term in prison.
WhiteBIT’s Public Stance On Support for Ukraine
Headquartered in Lithuania, WhiteBIT began its operations in 2018 under the leadership of Ukrainian entrepreneurs. Since this war began, the exchange has consistently maintained a pro-Ukrainian position. In a statement, it said that it is aware of the decision announced by the Russian Prosecutor’s Office and considers it the strongest confirmation of its clear and consistent pro-Ukrainian position.
Recently, it revealed that it provided technical infrastructure for the United24 platform. Also on its website and official channels, the company reported donations to Ukraine exceeding $11 million, consistent with figures quoted by Russian prosecutors.
While it has faced this ban in Russia, the company says it remains focused on global growth, transparency, and supporting Ukraine.
