Sberbank has submitted an application to the Central Bank of Russia to register a platform for issuing its own stablecoin – Sbercoin, which will be backed up by the Russian ruble.
January 22, 2021 | AtoZ Markets – The largest Russian bank Sberbank is ready to issue its own stablecoin dubbed Sbercoin, backed by the Russian ruble. The employees of the organization submitted the corresponding application to the Central Bank of the Russian Federation. This is reported by Izvestia with reference to the Deputy Chairman of the Board of Sberbank Anatoly Popov.
“On January 1, the law on digital financial assets came into force in Russia. Sberbank, in accordance with the established procedure, submitted an application to the Bank of Russia for registration of our platform in early January, in the first working days last week. Accordingly, we hope that our application will be approved, ”Popov said.
Digital assets backed by fiat money are allowed to be issued on registered platforms that fully comply with the legislative requirements of the Russian Federation. A similar platform was developed and tested within Sberbank and has shown high efficiency and user-friendliness.
If the Central Bank approves the application, then the “savings” may appear on the Russian market this spring. Recall that Sberbank announced its plans to issue stablecoin back in August 2020.
According to Popov, a financial institution can let the token in and peg it to the ruble based on the adopted law. Such a stablecoin can become a settlement tool for other digital financial assets.
Will the Sberbank stablecoin compete with the digital ruble?
It is surprising that Sberbank decided to issue a stablecoin at a time when the Central Bank is working to create a digital ruble. The main banking regulator has already held several meetings with bankers and received feedback from the leadership of financial institutions regarding the launch of the central bank digital currency (CBDC). Bankers are confident that the creation of a digital ruble is inevitable and necessary. They sent their proposals for CBDC to the Central Bank.
“The digital ruble can completely solve the problem of transparency of financing within the framework of estimates, including construction (avoiding the so-called” boiler “financing), state orders and state defense orders, as well as in the field of PPP,” the document explains.
It is likely that the savings will be issued earlier than the digital ruble, which means it will be able to receive user support. In addition, representatives of the financial market are skeptical about the digital currency of the Central Bank.
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