The initiative is led by Russia’s largest bank, which has entered into a collaboration with the metal specialist Solfer.
Russia is preparing to launch cryptocurrencies backed by gold prices. Yes, it is often said that cryptos are not backed by much in terms of economic fundamentals, but here Russia is hitting hard with a slightly crazy idea, namely linking cryptocurrencies to gold.
The initiative is carried by Sber, the former Sberbank, the largest bank in Russia. It completed its own blockchain last July and will offer investors a total of 150,000 digital assets, backed by gold market prices, available until July 31.
For this, the bank has teamed up with metal specialist Solfer, Sber, which presents these tokens as certified monetary rights “whose price and volume depend on the price of gold”.
“Context of Dedollarization”
“The operation shows that the market and the real economy are interested in this new instrument, which can be an excellent alternative to investments in a context of dedollarization”, declared Alexander Vedyakhin, First Vice-President of the Executive Council of Sberbank.
The details of the project will be presented later. We also expect to know what specific assets it will be indexed to, physical reserves, paper gold or even financial products. But the initiative is fundamentally quite new. And besides, there is a word that is never mentioned for the presentation of this initiative, it is the word “dollar”, although the press release talks about a context of dedollarization.
And yes, because gold, like oil or Airbuses, can be bought in dollars. This gold tokenization initiative by a Russian bank could also be a way to create some kind of liquidity in the precious metal by freeing itself from currency concerns and especially from the US currency, which Russia has been trying to reduce its dependence on for years.