Crypto Exodus Accelerates as Weld Money Joins Ukraine Pullout

Another domino falls in Ukraine’s crypto exodus—Weld Money becomes the latest firm to cut ties with the war-torn economy. The digital asset sector continues its rapid retreat, leaving local investors scrambling for alternatives.

Regulatory whiplash or warzone jitters? Either way, crypto firms aren’t sticking around to find out. Weld’s exit follows a growing list of platforms abandoning what was once Eastern Europe’s most promising crypto hub.

Meanwhile, traditional banks quietly count their fees—proving some financial institutions still know how to profit from chaos.

Crypto Card Firm Faces Harsh Controls

Based on reports, Weld Money saw service disruptions as checkpoints and tightened checks slowed transactions. Some users flagged problems back in March on the firm’s Telegram channel. Every delay chipped away at the smooth withdrawals and payments that cardholders expected.

$WELD Money are shutting down due to military & regulatory limits in Ukraine. Please withdraw funds by June 30 from all wallets & cards. Support — via Telegram: @alexeybobok#WELD #WeldMoney #crypto #shutdown #Ukraine pic.twitter.com/vhHTkS4a0Y

— WeldMoney (@MoneyWeld) May 27, 2025

Regulations Hold Back Fintech Growth

In April, Ukraine’s securities regulator floated a plan to tax crypto income at 18% and hike a defense surcharge from 1.5% to 5%. Lawmakers have stalled a key bill “On VIRTUAL Assets” that was supposed to clear the fog. Until rules firm up, any company needing stable banking ties will hesitate to launch new services.

Weld Money isn’t alone. In January, Kuna – a local exchange – said it WOULD halt trading. By March, the Economic Security Bureau, citing tax evasion claims, had even taken down its site. On May 20, wallet provider Trustee Plus stopped new sign-ups, pointing to the same legal doubts.

Based on statements from fintech leaders, rising costs linked to the war aren’t the only issue. New limits on cash flows make budgeting tough. When major payment rails act up, small startups can’t cover tech teams and compliance checks at the same time.

According to analysts following Kyiv, passing the OVA bill could turn the tide. Clear rules on profit taxes and military levies might bring back some confidence. But even then, big global firms with DEEP compliance staffs are more likely to stay.

Ukraine wants to be a hub for blockchain work. Yet, until peace and paperwork catch up, local players may find it too risky. For now, customers will be left scrambling to MOVE funds. And the empty desks at small crypto firms will stand as proof that, in a country under martial law, uncertainty is costly.

Featured image from Gemini, chart from TradingView