Expobank has issued the first-ever digital currency collateral loan to Russian entrepreneur and tax consultant Mikhail Uspensk. Uspenk bought Waves tokens (WAVES) in 2018 during their ICO but quickly learned that his WAVES were useless. Therefore, the tax consultant decided to use his WAVES as collateral for a loan that he has taken out at Expobank. Mikhail Uspensk told the local Russian media outlet Kommersant, “I don’t refuse plans to use Waves, and I don’t see any point in selling tokens, but they should not be dead weight in my pocket but should work.”
Crypto-backed loans become popular.
Digital currency collateral backed loans are becoming increasingly popular in many countries. What started as the most popular use-case for DeFi platforms has become a product that some of the leading companies in the digital currency industry and traditional banks are now offering. Earlier, the US-based crypto exchange COINBASE announced that they would be offering digital-currency collateral-backed loans and that individuals can receive a loan up to 30% of their digital currency holdings with a $20,000 ceiling.
https://t.co/7ZIulrkabY First loan backed by #crypto in Russia, with $waves as collateral
— Sasha Ivanov (@sasha35625) August 19, 2020
Russian regulators pass new crypto regulations.
As reported earlier, the Russian government has enforced new crypto regulations in the country. Cryptocurrencies can be traded, but no goods and services in Russia are allowed to be priced in it, according to the new regulations. Russian President Vladimir Putin signed the new cryptocurrency law on July 31, and it is set to come into effect from January 1, 2021. The crypto law defines cryptocurrency as “an aggregate of electronic data capable of being accepted as the payment means, not being the monetary unit of the Russian Federation or a foreign state, and as investments. Cryptocurrencies can not be used to pay for any goods and services in the country.
