UkraineDAO, a decentralised autonomous organisation founded by Nadya Tolokonnikova of Pussy Riot, Trippy Labs, and PleasrDAO members, raised $2,188 Ether (ETH), or $6.1 million, for a 1/1 Ukrainian flag non fungible token (NFT). Proceeds will be donated to Ukrainian non-profit groups that are assisting individuals affected by the Russian invasion.
The NFT sale was held as a PartyBid auction, letting participants pool their money and bid collaboratively for fractionalized ownership of the digital Ukrainian flag. Depending on the amount donated, contributors will receive ERC-20 tokens in the form of LOVE tokens. The NFT had not yet been fractionalized, and the money had not yet been disbursed.
In a post-sale Twitter Spaces event organised by NFT Now, co-founders Crypto Steve and Tolokonnikova stated that their purpose is to use the power of the crypto community to help people in need.
CryptoSteve, as he is known on Twitter, stated that UkraineDAO was formed as a result of people who simply began raising their hands, being of help, and unselfish. He stated that the beauty of a DAO is its ability to establish a new paradigm for fundraising, and he added that his primary takeaway from UkraineDAO has been that people just start reaching out to friends if you want to make anything happen. The fact that the Web3 area has mobilised at the same rate and scale as governments is quite strong.
When asked how UkraineDAO decided how to share the sale proceeds, Tolokonnikova stated that it comes down to honouring everyone’s views within the DAO. She stated that after contacting many local NGOs, they found that Come Back Alive, a Ukrainian nonprofit that offers military equipment, was the “most trustworthy and effective” option.
They resolved, however, that the funds would only be used for medical assistance and not for military weapons. Tolokonnikova went on to say that the next step before transmitting the cash is to ensure that the nonprofit’s wallet is correctly and securely set up.