Russia’s largest bank, Sberbank, will build crypto infrastructure by December, according to a report by Russian news agency Interfax.
A key piece will be a digital depository that tracks clients’ crypto rights and records off-blockchain transactions, while also handling wallet transfers to execute client orders, Interfax reported Monday.
Sberbank this month revealed plans to debut a Bitcoin and crypto wallet plus digital asset custody by December.
The news comes as the State Duma mulls over a new law “On Digital Currencies and Digital Rights,” which sets up comprehensive Russian regulation of crypto. The proposed law covers retail purchases through licensed intermediaries, exchange trading, clearing, and digital depositories.
First Deputy Chairman Alexander Vedyakhin was quoted as saying in the article that regulators and the market still need to draft numerous implementing regulations covering depository accounting, bookkeeping, and licensing for new types of intermediaries.
He added that Sberbank is ready to keep sharing its expertise and participating actively in that process.
Russia’s crypto journey
Using crypto has been illegal in Russia as a form of payment since 2022 but lawmakers in the country have been open about using them for international settlements.
President Vladimir Putin signed a law allowing cryptocurrency mining in the country last year, allowing legal entities to mine if they have been approved by the digital ministry. Foreign operations are currently banned from doing business in the country.
Back in 2023, the Russian legislature passed a bill legalizing the use of digital currency as a way to make international payments.
The bill likely has helped the country skirt international sanctions since the U.S. and European governments cut Russia off from the SWIFT payments system after it invaded Ukraine in 2022.
Top Russian banks are planning to launch crypto trading services when new regulations take hold in the country.
Lawmakers have said that investors will have to pass a test to start crypto investing and will be limited on the amount they can buy.