Financial capacity of volunteer initiatives in Ukraine under martial law: sources, risks, and factors of sustainability

Abstract

The article examines the financial capacity of volunteer initiatives in Ukraine under martial law and identifies the main sources, risks, and factors shaping their financial sustainability. It analyzes the transformation of the volunteer sector’s resource base following the beginning of the full-scale invasion, focusing on the expansion of individual donations, digital crowdfunding, corporate support, international grants, diaspora funding, and cryptocurrency donations. The study demonstrates that the digitalization of financial mobilization has increased the speed and scale of resource accumulation, while corporate support and recurring donations provide greater predictability of financial inflows. Particular attention is paid to cryptocurrency donations as an additional cross-border channel of resource mobilization, with their main advantages and risks identified. Drawing on empirical evidence, the article highlights the importance of institutionalization, diversification of funding sources, reputational trust, and diaspora support for sustaining volunteer organizations. The main systemic risks to financial capacity are identified, including donor fatigue, dependence on grant cycles, unequal access to institutional funding, fraudulent fundraising, and insufficient financial accountability of individual initiatives. A SWOT analysis is used to systematize the strengths, weaknesses, opportunities, and threats associated with the financial capacity of the volunteer sector. It is argued that the transition from reactive resource mobilization to a more sustainable financial model depends on the diversification of funding sources, the development of recurring donations, long-term corporate partnerships, social entrepreneurship, and endowment mechanisms. The study concludes that the financial sustainability of volunteer initiatives is determined not by the dominance of any single funding source but by their ability to combine different resource channels while maintaining organizational autonomy, transparency, and donor trust. Particular attention is given to the 2025–2026 dynamics: record growth in donations to leading fundraising platforms alongside a decline in mass micro-donations, a deepening trust and donor-fatigue crisis, and the impact of the USAID funding suspension on the sector's grant dependency.