Russia: Sberbank CEO Says Industrial Scale Blockchain Adoption Is 1-2 Years Away

The head of major state-owned Russian bank Sberbank has forecast that blockchain adoption will happen on an industrial scale in one to two years, local news agency TASS reported Nov. 13.

Speaking to journalists this week, Sberbank CEO Herman Gref explained that the technology is entering the stage of its industrial development:

“The hype around the technology [blockchain] is now over, and the technology is entering the stage of industrial development. It needs a year or two to be implemented at the industrial scale.”

Gref argued that global markets are “not yet ready” for large-scale commercial adoption of blockchain, given the “immaturity of the technology.”

Earlier in October, Gref gave a more general timeframe for blockchain adoption, stating it would be “ready” in three to five years, but not specifying on which scale.

Sberbank is actively involved in blockchain trials, along with other major Russian banks and institutions. In December 2017, Sberbank partnered with Russia’s Federal Antimonopoly Service to store documents and transfer data on blockchain.

Later in June, Sberbank partnered with Alfa Bank to test cryptocurrency-based investment options for retail investors. In October, Sberbank became an advisor to state-owned power giant Rosseti in order to help it trial blockchain solutions.

Another bank, the Russian branch of Raiffeisen Bank, announced recently that it would implement blockchain to issue digital mortgages and bank guarantees, planning to expand the implementation of technology to other areas.