Russia’s Sberbank opens a cryptocurrency exchange in Switzerland

The largest state bank in Russia, Sberbank, has taken serious steps into introducing a cryptocurrency exchange in Europe through its Swiss branch, Sberbank Switzerland AG, local media group RBC said on Tuesday Jan. 30.

The reason for the bank’s choice to open the exchange in Switzerland is the fact that right now, cryptocurrency transactions and operations are not allowed in Russia. However, there is no problem for Sberbank to open such an exchange in Switzerland, where it’s absolutely legal.

The bank’s Head of Global Markets, Andrey Shemetov commented on the new product:

“We wish to serve our customers’ interests, that’s why we think that we need to have strategic access to all kinds of products and services.” 

According to RBC and Cointelegraph, Sberbank is currently developing their trading infrastructure, but there is no specific timeline as to when the cryptocurrency exchange is going to be launched.

“Sberbank does not plan to provide cryptocurrency exchange to retail investors, but is looking to operate on the institutional level.  “Cryptocurrency exchange operations will be available for legal entities only,” Shemetov stated, adding that cryptocurrency investments are high risk due to market volatility.” 

Russia has been proactive in supporting the technology of blockchain and cryptocurrencies. According to media and popular beliefs, the introduction of cryptos and their legal use in the country will allow for transparency and fight against corruption and fraud. In addition, cryptos can add the to government tax revenue, which is again a plus for the country.

According to Cointelegraph:

“The Ministry of Finance is aiming to legally adopt cryptocurrency trading, since it would reduce the risks of fraud and increase the government’s tax revenue, due to the potential for fiscal transparency.”

 

 

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