VTB Bank, Russia’s second-largest lender by assets, plans to begin offering cryptocurrency spot trading to qualified investors next year, becoming the country’s first institution to allow clients direct, deliverable trading of major cryptocurrencies such as bitcoin. and ether according to the Russian media RBU.
The service will be offered to investors with portfolios exceeding $1.3 million or annual income exceeding $650,000, Andrey Yatskov, head of brokerage services at VTB, said in an interview with RBU.
“Preparations are already underway for ‘super-qualified’ investors to be tested, but it is clear that this status will not become widespread.” said.
Russia, like Iran and Venezuela, has increasingly turned to cryptocurrencies to circumvent Western sanctions on its $192 billion a year oil trade with China and India in 2023 and 2024. Oil and gas accounts for 30% of Russia’s federal market. Russia, once staunchly opposed to digital assets, turns to cryptocurrencies to avoid Western sanctions on oil trade: Reuters, which included a national ban on cryptocurrencies, the country began to move closer to virtual currencies as the United States and the European Union began to impose new rounds of increasing sanctions against the country in 2022.
Still, Yatskov dismissed speculation that appetite for cryptocurrencies would grow among the general population.
“No, we don’t expect that,” he replied.
According to an October report from the Tass news service, Deputy Finance Minister Ivan Chebeskov said that around 20 million Russians use cryptocurrencies “for various purposes,” describing them as a reality that the government must address rather than resist. The country has a population of around 146 million.
In response to the growing use of cryptocurrencies, Vladimir Chistyukhin, first deputy governor of the Bank of Russia, said in October that the regulator decided to allow banks to operate in the cryptocurrency sector for the first time.
VTB, which has a market value of nearly $250 billion and total assets exceeding $410 billion, said its clients’ interest in crypto assets is high, reflecting a global trend.
“Therefore, based on this position, we will also participate in the process,” Yatskov said.
The bank joins a small group of lenders around the world that offer cryptocurrency trading to their customers. Standard Chartered in July became the first global bank to offer bitcoin and ether spot trading for institutional clients. Spanish rivals BBVA and Santander also began offering cryptocurrency spot trading this year. Liechtenstein-based Bank Frick began offering its customers access to various cryptocurrencies as early as 2018. And DBS Bank of Singapore reportedly also offers the service.
