Russia’s largest bank Sber issued gold-backed digital financial assets

For Hannah Perez

Russia’s oldest and largest bank announced the issuance of its first gold-backed digital financial assets (DFAs).

***

  • Sber, Russia’s largest bank, issued gold-backed digital financial assets
  • The Russian institution has its own Blockchain platform
  • You have been exploring blockchain technology for some time now

The largest bank in Russia and one of the largest in Eastern Europe, sberhas taken advantage of blockchain technology to issue its first tokens gold-backed financiers.

In a entrance As of December 26, the banking giant, formerly known as sberbank, announced the first issuance of digital financial assets (DFAs) backed by the precious metal. the news medium Cointelegraph reported first.

The institution said it used its own platform based on distributed ledger technology (DLT). The issuance, registration and circulation of assets through blockchain guarantees that the data remains intact, assured sberwhich described DFAs as “digital financial instruments” and onegreat alternativeinvestment amid de-dollarization.

This was highlighted by the First Vice President of the Executive Council of sberbankAlexander Vedyakhin, who highlighted that digital financial assets can be an alternative to traditional investments amid de-dollarization caused by international financial sanctions imposed on Russia after its invasion of Ukraine.

The operation shows that the market and the real economy are interested in the new instrument, which can be a great alternative to investments in the midst of de-dollarization. We expect the number of corporate clients of our platform to grow rapidly and we plan to expand the product line of digital financial assets.

Russia’s largest bank is actively exploring the blockchain

Solfer, a diversified metals manufacturer and dealer, became the first investor to get the assets issued. Gold-backed DFAs represent certification money entitlements, the price and volume of which depend on gold prices.

We were excited about the new digital gold format and decided to try this new method to diversify the company’s balance sheet. The deal was closed quickly. We believe that this new vehicle that facilitates investments in precious metals can carve out a place in the marketadded Maxim Nazhmetdinov, CEO of Solfer.

According to documentation legal issue, cited by Cointelegraphthe bank will deploy up to 150,000 DFA for purchase by potential investors. The DFAs will be available to purchase until July 30, 2023. The document mentions “the high risks” for investors, entrenched in these types of assets, including “the risk of illiquidity“, according to the coverage.

In Russia, there is DFA legislation that has been in force since 2020. Although, in the middle of this year, Russian President Vladimir Putin signed a bill that prohibits digital payments at the national level, as this medium recalls.

sber, based in Moscow, has been actively exploring blockchain technology for some time now. In March of this year, sber received a license from the Central Bank of Russia that allows it to offer its blockchain to companies for the issuance and exchange of digital assets. More recently, the bank was integrated with ethereum to explore DeFi and Web3.

Founded in 1841, sber is the largest and oldest provider of banking and financial services in Russia. The state-owned bank has been sanctioned by the US and the European Union since 2014. According to reports, it has the largest savings deposit market share in Russia and is the country’s largest issuing creditor.


Recommended readings


Article by Hannah Estefanía Pérez / DailyBitcoin

Picture of Unsplash

CAVEAT: This is an informative article. DiarioBitcoin is a communication medium, it does not promote, endorse or recommend any investment in particular. It is worth noting that investments in crypto assets are not regulated in some countries. They may not be suitable for retail investors, as the entire amount invested could be lost. Check the laws of your country before investing.