Russia’s Sberbank Launching its Own Ethereum DeFi Platform

Russia’s biggest bank is working on its DeFi platform, allowing users to perform regular banking operations.

An old stationary computer being pluged in by human hand.
  • Sberbank’s DeFi platform will allow users to perform banking operations such as lending and saving.
  • Beta testing starts in March, while commercial operations should start in April.
  • Russia has had an ambivalent approach to crypto since it invaded Ukraine.

Sberbank is launching its Decentralized Finance (DeFi) platform based on the Ethereum blockchain. The Russian banking giant plans to release the platform in the next few months. 

The DeFi platform will allow users to perform all banking operations, including lending, borrowing, and investing. Sberbank said it wants to make the Russian DeFi system the best in the world. 

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Sberbank is beta-testing the platform, according to Konstantin Klimenko, head of products at Sberbank’s blockchain laboratory. Open testing will start in March, and commercial operations should start in April. 

Sberbank’s DeFi platform will be compatible with Ethereum, the largest blockchain platform for smart contracts.  

Proponents of DeFi claim that the technology could make banking cheaper and more accessible. However, DeFi is still in its early stage and requires significant investment to become a reality. 

On the Flipside

  • Russia has had an ambivalent relationship with crypto since its war in Ukraine began. On the one hand, Russia’s President Vladimir Putin proposed replacing the SWIFT payment system with a blockchain network. 
  • On the other hand, Russia banned crypto mining in residential areas to reduce energy consumption.

Why You Should Care

Sberbank’s investment in DeFi could help push the technology into the mainstream.

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This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Author
David Marsanic

David Marsanic is a journalist for DailyCoin who covers the intersection of crypto, traditional finance, and government. He focuses on institutionalized crypto entities like major cryptocurrency exchanges and Solana, breaking down complex topics into easy-to-understand writing. David's prior experience as a business journalist at various crypto and traditional news sites has enabled him to maintain a critical approach to news while adhering to high journalistic integrity standards.