The Russian Federal Savings Bank will take steps to circumvent the country’s cryptocurrency regulation

nRunaway Comment: Russia’s legislation on cryptocurrency is now making new progress, and a related bill appears to be coming out in September. By then, Russia may ban the trading of cryptocurrencies in its territory. But some financial entities do not want to disappoint their clients who are interested in cryptocurrencies, so they start looking for solutions. Sberbank said it would bypass its national regulation by offering cryptocurrency trading services at its Swiss branch.n
nTranslation: Inan
Andrey Shemetov, head of global marketing at Sberbank, said at a news conference on Tuesday that the bank “plans to conduct cryptocurrencies trading outside Russia to avoid violating domestic regulations,” Reuters reported. Sberbank is Russia’s largest bank, is the third largest bank in Europe, the majority of its ownership by the Russian government.n
According to Shemetov, “Russian law forbids Sberbank from trading cryptocurrencies,” but “the state bank hopes to serve its clients in this hot market that attracts some investors.” He told reporters: “This is why we think we need to have strategic access to these products.” According to the Tass news agency, he emphasized:n
n”In Russia, we can not trade cryptocurrencies, but we want to cater to our customers’ interests and we think we have to have access to many such products.”n
nThe Russian Ministry of Finance recently released a draft law on the supervision of digital assets (including cryptocurrencies) in its territory. The bill is expected to take effect in September.n
Sberbank’s strategy to deal with this situation is to trade cryptocurrencies through its Swiss branch in Zurich. According to TASS, Shemetov said Sberbank’s Swiss branch is creating a “crypto-currency trading infrastructure” and states: “We developed our own trading infrastructure to open up our own positions to serve our customers, enabling them to trade cryptocurrencies “He reiterated:n
n”Swiss law allows currency transactions to be encrypted and we are developing the infrastructure to deliver these services through the Swiss branch.”n
nAccording to the report of Agence France Presse, this kind of product of Sberbank was originally only offered to legal entity. Shemetov said: “The product is very risky and volatile and we do not offer these services to a large number of customers.” He added:n
n”We are working on all of the most liquid cryptocurrency pairs and we’ll look at what customers are interested in and where they are liquid … Obviously we will not get into the less liquid cryptocurrencies.”n
nLast November, Sberbank bought a number of graphics cards that could be used to encrypt currency mining, resulting in a shortage of these products in the Russian market. The bank said at the time that the cards were for its “artificial intelligence laboratory.”n
According to local media reports, Herman Gref, president and chairman of Sberbank’s board of directors, said earlier this month at the Gaidar Forum that “cryptocurrency can not be banned, a good new technology that has not yet been fully implemented Research and utilization. “n

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