Russian Retail Bank, Sber Set To Launch Stablecoin
According to reports, Russia’s largest retail bank, Sber, could be set to launch its stablecoin. The bank has applied for a license with the Russian central bank to issue a stablecoin for corporate clients.
Sber revealed that the stablecoin would only be made available for companies that have accounts with the bank. It further highlighted that it would be issued in the form of tokenized rubles based on the amount held in the client’s accounts. Sber also revealed that several companies had expressed interest in blockchain-based deals in the past. It should be noted that Sber has a blockchain platform built on the Hyperledger Fabric blockchain.
The Russian retail bank believes that the stablecoin will allow companies to use smart contracts on its platform. Besides, tokenizing fiat money on the platforms will ensure full automation of transactions between client firms.
Stablecoin part of recent developments from Sber
The application for a stablecoin follows recent blockchain-related activities from the Russian retail bank. Sber’s deputy Chairman Anatoly Popov also revealed on Friday to Russian news outlet Interfax news agency that the bank had applied for a blockchain license.
He further revealed that the registration process could take up to 45 days, after which the central bank makes a decision. If the project is approved, Sber expects to launch the blockchain platform by the second quarter of the year. Sber bank has consistently been active in the blockchain space participating in several projects.
The application was in line with Russia’s law on digital assets that came into effect on Jan 1, 2021. According to the law, all centralized issuers of digital assets must register with the regulator. Blockchain and cryptocurrencies have been a major agenda for Russian financial regulators in recent months. The European country passed its first law regulating digital currencies last year detailing processes for companies involved in the industry.
The law classified public cryptocurrencies like Bitcoin as property and stated that the digital assets are subject to taxation. Non-eligible investors in Russia are also limited to purchase 600,000 rubles ($7,730) worth of digital assets yearly.