Early-stage discussions between Russia and Ukraine began in Belarus on Monday, laying the groundwork for what might be a potential de-escalation of tensions that have shaken crypto markets in February.
The talks are taking place near the border with Belarus, as the US and its allies impose tough sanctions on Russia and Belarus. Russian President Vladimir Putin has ordered the country’s nuclear deterrent force to be on high alert. Kyiv has stated that there are no preconditions for the discussions and that Belarus is involved in the invasion.
According to Interfax, Vladimir Medinsky, the leader of the Russian mission, Russia is interested in fast reaching a deal with Ukraine to avoid future casualties. Ukraine requested quick admission to the European Union as violence between Ukrainian and Russian soldiers continued for the fourth day in a row, spilling into Ukraine’s capital.
Tensions about the battle have harmed the cryptocurrency markets this month, losing them up to $200 billion in money. Wider financial markets had suffered as well, while safe-haven assets such as gold had benefited.
The emphasis is now on the possibility of a de-escalation in hostilities, which might drive a crypto rise. This month has also seen an increase in demand for digital assets in Russia and Ukraine since cash markets have been hampered by the conflict as well as western sanctions.