Sberbank Unveils Crypto Custody System Ahead of Russia's New Regulations

Russia's largest bank, Sberbank, is planning to build a crypto custody system by December 1 this year. The move comes as Russia introduces new regulations for digital assets, which take effect on September 1. According to the rules, only cryptocurrencies with a market capitalization above $64 billion will be eligible for public exchange trading.

Sberbank has already gained experience in handling crypto assets through its earlier initiatives, including bitcoin bonds and bitcoin-backed lending with miner Intelion Data. The bank's infrastructure plan is designed to operate within the defined boundaries of qualified investors and retail customers. Retail crypto payments remain banned inside Russia, while qualified investors will gain access to a broader set of digital assets.

The Bank of Russia has proposed limited direct retail crypto purchases under strict testing conditions, with an annual cap of 300,000 rubles per intermediary. Sberbank's December target places it ahead of many peer institutions in the region, and its dual position as depository operator and bitcoin product provider stands out.