Russia’s Sberbank Drops Cryptocurrency Plans – Details

Sberbank Drops Cryptocurrency Plans

Sberbank Drops Cryptocurrency Plans

The state-owned Sberbank, which is Russia’s largest bank has dropped its cryptocurrency-related plans over the country’s negative stance towards cryptocurrencies and blockchain technology.

This is according to vice president Andrey Shemetov, through a press release that Sberbank was waiting for clearer cryptocurrency regulations in Russia to launch a cryptocurrency-related service.

The plan was dropped, however, as the country’s central bank, the Bank of Russia, and the local financial regulator aren’t looking positively at the crypto space.

Shemetov said:

Regarding cryptocurrencies, we waited for legislation that allows you to trade cryptocurrencies. Since the regulator is currently looking negatively [at cryptocurrencies], we decided to suspend our cryptocurrency plans.

The bank’s vice-president didn’t specify which cryptocurrency-related plans the bank suspended, although TASS notes in January of last year its subsidiary in Switzerland, Sberbank Switzerland AG, announced plans to launch a cryptocurrency exchange.

Herman Oskarovich Gref, Sberbank’s chief executive officer believes blockchain technology may provide “tremendous opportunities,” and make business processes significantly more efficient.

The country’s president, Vladimir Putin, has criticized cryptocurrencies, claiming they proved opportunities for criminals to launder funds, finance terrorism, and evade taxes.

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