Russia’s largest bank, Sberbank, has announced that it is the first in the country to receive approval to custody Bitcoin and smaller cryptocurrencies.
According to an announcement made by Sberbank, the Bank of Russia granted the green light for digital currency record-keeping and the facilitation of asset transfers. The regulatory developments coincide with a law signed this month by Russian President Vladimir Putin to establish regulations for digital currencies and digital rights.
Customers will be able to conduct cryptocurrency transactions through existing online banking platforms, including SberBank Online, SberInvestments, and SberBusiness, without the need for new applications. Sberbank stated that the service will integrate standard customer identification, transaction monitoring, and reporting into familiar interfaces.
Prior to a mass rollout, the bank plans to provide the service to a limited number of customers. Sberbank previously revealed plans in July to debut a cryptocurrency wallet and digital asset custody by December. Meanwhile, the Bank of Russia published draft regulations for crypto trading in July, and the State Duma has prepared comprehensive digital asset regulations this year.
Despite the new custody capabilities, utilizing digital assets as a means of payment or legal tender within Russia remains prohibited, a ban that has been in place since 2022.
