Russian bank Sber has announced that its newly created blockchain platform will be infused into the Ethereum blockchain. According to a statement by the bank on November 30, it mentioned that there would be opportunities for its blockchain. Some of this includes supporting smart contract abilities and other applications built on the Ethereum platform. In addition, the bank said the integration would help developers move their projects across both blockchains.
The Russian bank wants to help financial institutions
Asides from its integration with Ethereum, the bank also announced that it has partnered with Metamask, which its users can use to interact with the Ethereum blockchain. This new infusion will enable transactions using assets and smart contacts on the Russian bank’s blockchain.
According to a spokesperson, the bank was delighted to work with external developers to effectively allow several applications to run on the Sber blockchain. He also mentioned that the new integration would enable the Russian bank to provide much-needed services to developers and institutions that have hopes to enter into the business aspect of the blockchain and web3 ecosystem.
Russia’s ban on crypto payments still active
An earlier report claimed that the bank had been working on developing its blockchain over the last few years. The report also mentioned that the bank had already filed an application with the premier bank in the country for permission to develop its blockchain platform, which would house its Sbercoin token. The approval came in June 2022, and some weeks after, the Russian bank announced that it had entered into a partnership with a digital asset company. The Russian government holds shares worth about 51% in the bank.
This recent announcement is coming off the back of a call by the president of Russia, Vladimir Putin, for financial institutions to create their blockchain platform for payments. Putin lamented the monopoly of the payment system being used worldwide while claiming that digital assets could pull more users away from the banking system. Notably, digital assets like Bitcoin have been banned in Russia as citizens are not allowed to use them for payments across the country since 2020. There have also been calls by lawmakers in the country for discussions on a possible exchange creation by the government. The Bank of Russia is backing the call.