Russia’s largest bank, Sberbank, has announced plans to offer loans secured by cryptocurrency. This initiative is based on a pilot agreement with a mining company, under which crypto assets will be accepted as collateral for loans. The move aims to strengthen the relationship between the crypto market and the traditional financial system. Cryptocurrency-backed loans are gaining popularity globally, especially in countries with limited conventional banking services or rising digital asset values. Legislation regulating this is expected in Russia, potentially coming into full effect by mid-2026. Following this, major financial institutions like Sberbank will be able to legally and reliably use cryptocurrency as a financial instrument. This effort marks a significant step toward enhancing the legal status and financial use of cryptocurrencies in Russia. While the Russian government had previously imposed strict regulations on cryptocurrencies, it is now clear that a structured legal framework is being developed to integrate digital assets into the financial system. This development will create new opportunities for investors and promote financial inclusion. Although increased cryptocurrency use carries financial risks, such as price volatility and fraud, these can be mitigated through legal and regulatory oversight. Under the new policy, Sberbank and other banks will be required to follow appropriate regulatory guidelines when issuing crypto-backed loans. This advancement not only signifies innovation within Russia’s financial markets but also strengthens Russia’s role in the global cryptocurrency market.
Source: coindesk
