No doubts, Sberbank is a major player in Russian financial stratosphere, the bank is state-owned and equally the largest banking firm in the country. Its CEO, Herman Gref, has expressed his point of view about blockchain adoption. According to a recent report by local news outlet RIA Novosti, Gref pointed out that governments around the world are not close to ready as regards parting ways with fiat currencies and this can create a big challenge for the flourishing of the decentralized model.
3-5 Years Should Do
Judging by the CEO’s assertions, global governments are still holding firmly unto the traditional fiat currency, and this would affect the progress of digital tokens in getting to the mainstream. He pointed out that:
“[The future] of cryptocurrencies is not clear so far as the state will not give up its central role, won’t allow [decentralized] cryptocurrencies. Though this might be the proper model – as for me, I’m for a distributed model, including in money supply. But it seems like that is not in the cards for the next — well, let’s be optimistic – ten years.”
However, he remains optimistic about the future and prospect of virtual currencies as well as its underlining technology– the blockchain. Gref predicted the tech would be “ready” for adoption in a shorter timeframe; as short as 3-5 years:
“The technology [blockchain] isn’t ready right now. When will it be ready? In my view, in 3-5 years […] [Blockchain’s] potential is huge. The philosophy embodied in it could drastically change approaches in many areas. Improving this technology could bring huge value both to business and society.”
Need for Blockchain Tech Support
The CEO also admonish global governments to recognize the line, however thin, between quashing fraudulent practices and clamping down on the emerging cryptocurrency sector. He concluded, adding that placing an outright ban on virtual currencies could do a lot of harm to numerous companies developing the distributed ledger technologies (DLT), such as blockchain.
It is apparent that the Sberbank has been doing everything practically possible to promote blockchain-based technologies, thereby showing a keen interest in the digital currencies as well. For instance, four months ago, Sberbank and other giant banks in Russia, Alfa-Bank started experimenting with crypto trading options for retail investors staying within the central bank’s regulatory purview.