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The Central Bank of Russia aims to implement tokenization solutions to enable foreign investors to acquire shares in local companies.
According to the Russian news outlet RBC, industry insiders believe that the blockchain-based approach would be “viable and appealing to international investors.”
Vladimir Chistyukhin, the First Deputy Chairman of the Central Bank, addressed this topic during a recent financial forum.
When questioned about the tokenization of Russian shares, the Central Bank official replied positively, describing it as a “potential option.”
Vladimir Chistyukhin, the First Deputy Chairman of Russia’s Central Bank. (Source: MGIMO/YouTube/Screenshot)
Russia’s Central Bank: Tokenization Could Assist Firms in Avoiding Sanctions
However, Chistyukhin indicated that foreign participants would need to offer technical and platform-based solutions. He stated:
“In this domain, foreign partners will play a crucial role. I refer to the foreign entities willing to tokenize Russian assets for buying and selling them internationally.”
Chistyukhin’s remarks follow a proposal from Sergei Shvetsov, the head of the Supervisory Board of the Moscow Exchange.
In late September, Shvetsov mentioned that international investors are interested in purchasing Russian shares. He noted that tokenization would facilitate this process, as it does not rely on “sanctioned infrastructure.”
Shvetsov further elaborated that decision-makers in Moscow have been openly discussing the tokenization of Russian shares.
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The exchange seems to believe that traditional finance solutions often utilize “sanctioned infrastructure and sanctioned intermediaries and brokers.”
These, he remarked, are “unfortunately prevalent in Russia today.” He added that tokenization was one of several potential alternatives being explored.
Support from Russian Experts
RBC cited an official from the Russian banking institution Sovcombank expressing support for the initiative.
The Sovcombank representative stated that tokenization “could serve as an appropriate tool for investors” from BRICS nations or “friendly jurisdictions such as the UAE, Kazakhstan, or Armenia.”
Sovcombank offices in Moscow, Russia. (Source: Gennady Grachev [CC BY 2.0])
In the long run, the official added, tokenization could “enhance the integration of the Russian market into the global digital financial ecosystem.”
Alexey Korolenko, the Executive Director of Cifra Markets, agreed. He noted that tokenization would enable traders with limited capital to purchase fractions of high-value stocks.
Korolenko mentioned that the real-world assets (RWAs) sector is currently going “mainstream” and is experiencing “high demand among investors.”
He concluded that the concept of tokenizing Russian shares is “entirely achievable.” However, Korolenko cautioned that Moscow must ensure that providers fulfill reliability standards “for the entire ownership and tokenization chain.”
Experts also indicated that regulators would need to address infrastructure and liquidity issues, as well as potential “political risks.”
The post Russia’s Central Bank: Tokenization Will Let Foreigners Buy Domestic Shares appeared first on Cryptonews.
