Russia’s largest bank Sberbank is considering a stablecoin launch compliant with the recently passed cryptocurrency law.
Russian President Vladimir Putin signed a cryptocurrency that provides legal status to cryptocurrencies. However, the law does not allow cryptocurrencies to be used as a method of payment.
As such, Sberbank is looking to develop a ruble-pegged coin that can be used for “settlements involving other digital financial assets.”
Sberbank stablecoin launch
According to a report by local news agency Kommersant, Sergey Popov, the director of the transaction business at Sberbank stated that the bank is considering a stablecoin launch. The stablecoin will be pegged to the Russian ruble in a ratio of one-to-one.
According to the report, the stablecoin will be compliant with Russia’s new crypto bill that will be implemented in January 2021. The bill prohibits the use of cryptocurrencies for payments. As such the bank wants to design a stablecoin that can “become a basis” for settlements involving other more volatile cryptocurrencies.
Reportedly, Sberbank has been waiting for the crypto law since 2018. The bank has spent more than $100 million to purchase 5,000 touchless blockchain ATMs. The adoption of touchless ATMs enables users to access their funds without risking the spread of coronavirus.
Russian crypto bill
Implementing next year, the crypto law will prohibit the use of cryptocurrencies as a method of payment. However, the bill allows the use of what it deems “Digital Financial Assets” in transactions.
The bill defines digital currency as a collection of electronic data that is not a monetary neither abroad nor in Russia. On the other hand, Russians are able to launch stablecoin and trade it for assets issued abroad.
