Russia’s Sberbank PJSC Forays Into the Digital Assets Space

On March 17, Russia’s Central Bank granted Sberbank PJSC a license to issue and exchange digital assets. In detail, the Central Bank added Sberbank to the list of information system operators issuing digital financial assets (DFAs).

Sberbank’s digital assets platform will record and circulate any DFAs issued via an information system based on distributed ledger technology (DLT). As a result, Sberbank ensures data security and makes data immutable.

Accordingly, companies will be able to avail the opportunities of Sberbank’s digital assets platform. These include:

• Issuing their own DFAs proving the cash requirements. This will enable companies to attract market investments
• Acquiring DFAs issue through the Sberbank information system. This will position companies to invest their currently idle funds to generate income.
• Making other DFA transactions in accordance with Russian laws.

Sberbank’s Director of the Transaction Business Division Sergey Popov said that the first transaction should be possible one month from now.

Companies will be able to make their first transaction on our blockchain platform one month from now. We are just starting our work with digital assets, realizing that further development requires adaptation of the current regulatory framework. To do that, we are ready to work closely with the regulator and executive bodies.

Previously, Sberbank PJSC faced trouble after Russia’s attack on Ukraine. The bank was unable to sustain itself after all the sanctions from the U.S. and the European Union. As a result, it abandoned its European business and its shares plunged 95% on the London Stock Exchange.