The largest universal private bank in Russia, Alfa-Bank, has created its own A-Token platform for interacting with digital financial assets (DFA). This was achieved by being included in the list of information system operators supported by the central bank.
The digital financial platform will allow individuals, financial institutions, and professional market participants to deploy free cash or participate in corporate capital raises. Alfa-Bank intends to provide capabilities for market issuers as well as an option for situations in which the bank is the issuer.
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According to Bitcoin.com, Alfa-Bank is now the second-largest platform authorised to mint digital currency.
The A-Token will be accessible via its mobile application. As a result, users can transact immediately. A sample release is planned for the last week of February.
In addition, the platform is based on the concept of a secure transaction in which the investor advances funds. If the required number of applications are obtained, the money will be credited to the issuer; otherwise, investors will be repaid.
The secondary market operates on the same fundamental principle as the primary market: smart contracts assume the seller has assets, and the bank gateway assumes the buyer has funds.
“We believe in the development of the DFA direction, we see the effectiveness of the technology and its ability to conduct transactions with the client directly, reducing costs and risks. Thanks to the bank’s expertise, we will work not only with professional investors and companies, but also popularise digital assets among private retail clients and existing investor clients,” said Denis Dodon, innovation director at Alfa-Bank.
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By GlobalDataEarlier this year, Goldman Sachs Group restructured its Russian asset holdings, the RBC daily reported citing two sources privy to the development.
The restructuring could accelerate the process for the bank’s complete withdrawal from Russia, added the unnamed investment industry sources.
Several US-based banks have reduced their activities in Russia after it embarked on its invasion of Ukraine last year.
However, foreign banks need special consent from the country’s president Vladimir Putin in case they want to offload their stakes.
