Latest news with #custodyservices
CNA
17-07-2025
- Business
- CNA
Russia's Sberbank offers custody services for Russian crypto assets
MOSCOW :Russia's largest lender Sberbank wants to offer custody services for Russian cryptocurrency assets, the state-owned bank said on Thursday, seeking a leading role in Russia's development of digital assets. Russia's central bank has softened its opposition to cryptocurrencies, backing a law last year that let businesses use them in international trade to help skirt Western sanctions imposed on Russia over its conflict in Ukraine. Anatoly Pronin, executive director of Sberbank's alternative payment solutions division, said the bank had sent proposals to the central bank on the regulation of crypto assets in the country after seeing more and more banks elsewhere start to provide custody services. Speaking at a discussion on cryptocurrency regulation Pronin said Sberbank's proposals would see cryptocurrency assets regulated in a similar way to assets in bank accounts, and that the bank would guarantee tokens' safety. Safeguarding crypto assets on behalf of clients means they could be frozen if law enforcement authorities suspect wrongdoing but can make the practice of carrying out transactions easier and protect accounts from hacking. Gleb Zemskoy, director of the development of blockchain technology and digital currencies at Insight Finance, said no fund or crypto user could do without custody services. "The custodian is the backbone of the world's economy in terms of cryptocurrencies," Zemskoy said. "And at the moment, it is in the hands of private foreign companies, which indicates a huge risk."
Yahoo
17-07-2025
- Business
- Yahoo
Russia's Sberbank offers custody services for Russian crypto assets
MOSCOW (Reuters) -Russia's largest lender Sberbank wants to offer custody services for Russian cryptocurrency assets, the state-owned bank said on Thursday, seeking a leading role in Russia's development of digital assets. Russia's central bank has softened its opposition to cryptocurrencies, backing a law last year that let businesses use them in international trade to help skirt Western sanctions imposed on Russia over its conflict in Ukraine. Anatoly Pronin, executive director of Sberbank's alternative payment solutions division, said the bank had sent proposals to the central bank on the regulation of crypto assets in the country after seeing more and more banks elsewhere start to provide custody services. Speaking at a discussion on cryptocurrency regulation Pronin said Sberbank's proposals would see cryptocurrency assets regulated in a similar way to assets in bank accounts, and that the bank would guarantee tokens' safety. Safeguarding crypto assets on behalf of clients means they could be frozen if law enforcement authorities suspect wrongdoing but can make the practice of carrying out transactions easier and protect accounts from hacking. Gleb Zemskoy, director of the development of blockchain technology and digital currencies at Insight Finance, said no fund or crypto user could do without custody services. "The custodian is the backbone of the world's economy in terms of cryptocurrencies," Zemskoy said. "And at the moment, it is in the hands of private foreign companies, which indicates a huge risk." Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Reuters
17-07-2025
- Business
- Reuters
Russia's Sberbank offers custody services for Russian crypto assets
MOSCOW, July 17 (Reuters) - Russia's largest lender Sberbank ( opens new tab wants to offer custody services for Russian cryptocurrency assets, the state-owned bank said on Thursday, seeking a leading role in Russia's development of digital assets. Russia's central bank has softened its opposition to cryptocurrencies, backing a law last year that let businesses use them in international trade to help skirt Western sanctions imposed on Russia over its conflict in Ukraine. Anatoly Pronin, executive director of Sberbank's alternative payment solutions division, said the bank had sent proposals to the central bank on the regulation of crypto assets in the country after seeing more and more banks elsewhere start to provide custody services. Speaking at a discussion on cryptocurrency regulation Pronin said Sberbank's proposals would see cryptocurrency assets regulated in a similar way to assets in bank accounts, and that the bank would guarantee tokens' safety. Safeguarding crypto assets on behalf of clients means they could be frozen if law enforcement authorities suspect wrongdoing but can make the practice of carrying out transactions easier and protect accounts from hacking. Gleb Zemskoy, director of the development of blockchain technology and digital currencies at Insight Finance, said no fund or crypto user could do without custody services. "The custodian is the backbone of the world's economy in terms of cryptocurrencies," Zemskoy said. "And at the moment, it is in the hands of private foreign companies, which indicates a huge risk."
Coin Geek
15-07-2025
- Business
- Coin Geek
Hong Kong shapes future of mining with stablecoin regulation
Getting your Trinity Audio player ready... Hong Kong, a global financial hub, is leading the charge with its proposed stablecoin regulatory framework, set to take effect later in 2025 under the 'Stablecoin Issuers (Regulation and Provision of Custody Services) Ordinance.' This initiative, poised to be the world's first comprehensive stablecoin regulation, aims to foster innovation while ensuring financial stability and investor protection. The Hong Kong Monetary Authority (HKMA) is preparing to roll out a pioneering regulatory framework for fiat-backed stablecoins—digital currencies tied to fiat currencies like the USD or HKD to maintain stable value—later in 2025. Under the proposed ordinance, stablecoin issuers must secure an HKMA license, requiring full reserve backing with high-quality liquid assets, such as cash or government bonds, held in segregated accounts to protect users in case of issuer insolvency. Licensees must comply with rigorous anti-money laundering (AML) and counter-terrorism financing (CTF) regulations, undergo regular audits, and implement robust risk management systems to ensure operational reliability. The framework also mandates licensing for custody service providers, such as those offering stablecoin wallets or asset storage, ensuring comprehensive oversight across the stablecoin lifecycle. The HKMA plans to ban algorithmic stablecoins—those relying on automated protocols rather than asset reserves—due to their volatility, as seen in past failures like TerraUSD. By establishing these standards, Hong Kong aims to create a transparent and secure digital asset hub, capitalizing on a global market projected to grow from $5.08 billion in 2023 to $15.39 billion by 2032. Hong Kong's proposed stablecoin regulations could significantly influence the digital currency ecosystem, particularly mining. Stablecoins, whose transactions surpassed those of Visa in Q1 2025, are critical for digital asset markets, serving as a stable bridge between volatile assets like BTC and fiat currencies. A regulated stablecoin environment in Hong Kong is likely to attract major issuers like Tether (USDT) and Circle (USDC), enhancing liquidity and stability for digital asset trading, which directly impacts miners. For miners, stablecoins are a key tool for managing financial operations. Miners, such as those using Canaan's (NASDAQ: CAN) Avalon Q or CleanSpark's (NASDAQ: CLSK) industrial rigs, often convert BTC earnings into stablecoins to hedge against price volatility, ensuring predictable revenue for operational costs like electricity and hardware. A trusted stablecoin framework in Hong Kong could streamline these transactions, reducing counterparty risks and transaction fees. This is particularly relevant as the global BTC mining hash rate hit 700 exahashes per second in June, intensifying competition and making efficient cash flow management critical. Moreover, Hong Kong's regulations could bolster the city-state's role as a digital asset hub, potentially attracting mining-related businesses, such as hardware manufacturers or cloud mining platforms, to establish operations. For instance, platforms like RI Mining or AAS Miner, which emphasize sustainable practices, could leverage Hong Kong's clear regulatory environment to expand services and support miners globally. Increased stablecoin adoption could also drive transaction demand, indirectly boosting mining profitability in a high-price environment. Implementing the stablecoin framework poses challenges. Compliance costs, such as hiring auditors or upgrading systems, may strain smaller issuers, potentially consolidating the market around larger players like Tether. Overregulation could also push startups to jurisdictions with lighter rules, such as Dubai or Singapore, though Hong Kong's financial reputation provides a competitive edge. Enforcing the proposed ban on algorithmic stablecoins will be complex in a decentralized digital landscape, requiring robust monitoring and international coordination. Globally, Hong Kong's initiative stands in contrast to varied regulatory approaches. Norway is considering restrictions on block reward mining due to energy concerns, while Russia's new mining registry aims to curb illegal operations. The United States lags in comprehensive digital asset legislation, with debates over bills like the CLARITY Act ongoing. Hong Kong's proactive stance could set a global benchmark, but it must balance strict oversight with flexibility to retain innovators. For miners, regulatory clarity in Hong Kong could inspire similar frameworks elsewhere, potentially easing cross-border operations but also raising compliance burdens. Hong Kong's planned stablecoin regulations, expected to launch later in 2025, position the city as a global leader in digital asset governance. By fostering a secure environment for stablecoins, the framework could enhance liquidity for BTC, streamline miners' financial operations, and attract digital asset-related businesses. If the HKMA navigates compliance challenges and global competition effectively, Hong Kong could redefine the Bitcoin landscape, setting a model for balancing regulation and innovation in a rapidly evolving market. Watch: Breaking down solutions to blockchain regulation hurdles title="YouTube video player" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" referrerpolicy="strict-origin-when-cross-origin" allowfullscreen="">
