A major private bank in Russia, Tinkoff, is struggling to offer cryptocurrency trading to its clients due to the central bank’s tough stance on digital assets.
Tinkoff CEO Oliver Hughes said the digital bank is ready to offer crypto trading services, but restricted by Bank of Russia policies, CNBC reports. Announcing the news at the St. Petersburg International Economic Forum on Thursday, the executive said:
“At this point in Russia we don’t have a mechanism to offer them that product because the central bank has found this very difficult situation.”
Hughes said the bank has seen increasing demand from its customers to invest in cryptocurrencies such as bitcoin.B T c), noting that “there are qualified investors who know what they are doing.” The CEO added that there are still some concerns regarding the use of cryptocurrencies in money laundering and high volatility risks.
“Hopefully over time this will develop and we will be able to achieve the goals of the central bank, ensuring that there is no money laundering problem, ensuring that we are protecting investors, but a We also offer products in a responsible manner,” Hughes said. .
Tinkoff is one of the most popular banks in Russia, ranked According to a study by Deloitte, as of September 2020 the third top bank in demand after state-backed Sberbank and VTB. The bank is known for its service “Tinkoff Investments”, which allows for Private investors to invest in products such as stocks, bonds and currencies.
In February, a spokesperson for Tinkoff Investments told Cointelegraph that Tinkoff was not planning to launch cryptocurrency trading because “the legal status of crypto in Russia has yet to be determined.” “Crypto in legal terms is not money, not property, not information and not a means of payment,” the representative said.
Russia Officially Adopted Its Major Cryptocurrency Law, “On Digital Financial Assets,” in January of this year. Last month, the local regulator Launched a partial lift on Russian sanctions The DFA prohibits the use of crypto as a payment method in the form of crypto payments.