Russia’s largest bank, state-owned Sberbank, has reportedly unveiled its crypto plans as the country begins regulating the industry in January. Sberbank’s CEO says the bank can issue its own cryptocurrency in partnership with JPMorgan.
The crypto plans of Sberbank and Sbercoin
Sberbank CEO Herman Gref on Monday revealed his bank’s plans for when the country’s upcoming crypto regulation goes into effect.
Gref explained that the “On Digital Financial Assets” law will come into effect in Russia January 1st. It provides a legal definition for digital assets and legitimizes cryptocurrency in Russia. A separate bill, “On Digital Currency”, still pending in the State Duma, will provide a regulatory framework for cryptocurrency. Gref was quoted as saying:
As of January 1, the law will come into effect, we want to market our new blockchain platform, which will provide services for the purchase of digital financial assets.
In addition, Reuters reported on Tuesday that Sberbank is considering issuing its own cryptocurrency called “sbercoin” and may partner with JPMorgan to work on the project next year. JPMorgan recently released the JPM currency. Gref explained that Sberbank will be working on its cryptocurrency at the same time as the Bank of Russia is working on a central bank digital currency (CBDC), the digital ruble.
Sberbank is the largest bank in Russia, Central and Eastern Europe. The Russian network includes 11 regional banks with 14,200 branches in 83 regions. The bank has a worldwide presence in 18 countries. The Russian Federation represented by the Ministry of Finance “owns 50% plus one voting interest in Sberbank’s share capital (or 52.23% of all Sberbank voting shares),” according to the bank’s website.
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