Russian Government sees Blockchain as a foundation for Diversified Economy

Russian president Vladimir Putin recently met with Founder of Ethereum Vitalik Buterin on the sidelines of the St Petersburg Economic Forum.  This meeting was seen by many as a push towards the implementation of Blockchain technology in Russia. As Putin himself stated, “The digital economy isn’t a separate industry, it’s essentially the foundation for creating brand new business models.”

 Russia’s central bank has already deployed an Ethereum-based blockchain as a pilot project to process online payments and verify customer data with lenders including Sberbank PJSC, Deputy Governor Olga Skorobogatova said at the St. Petersburg event.  Seperately Russia’s state development Bank VEB agreed to start using Ethereum for some administrative functions. Steelmaker Severstal PJSCtested Ethereum’s blockchain for secure transfer of international credit letters. Currently Russia is looking into three directions of Blockchain applications, tracking of goods, building identity and ownership rights protection systems.