Senators Propose Using Cryptocurrency as Collateral

Cryptocurrency may become a legal tool for securing obligations in Russia. The Council for the Development of the Digital Economy under the Federation Council has sent a proposal to the Ministry of Justice of the Russian Federation regarding the possibility of using digital assets in collateral transactions. The initiative aims to bring cryptocurrency operations into the legal framework and support their legal circulation. The authors of the proposal also suggest developing unified rules for accounting and financial reporting of crypto assets. The Ministry of Justice and the Bank of Russia have been asked to assess the legislation and determine the feasibility of accepting Bitcoin, Ethereum, and stablecoins as collateral. Deputy Chairman of the Council for the Development of the Digital Economy, Senator Artem Sheikin, noted that the collateral mechanism using cryptocurrencies would expand the tools for securing obligations for businesses and make asset management more transparent. He also emphasized the importance of stablecoins meeting the requirements of the Central Bank and the jurisdiction of the issuer. At the end of August, Sber announced plans to issue loans secured by crypto assets, including Bitcoin, Ethereum, and USDT stablecoins.

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