In Russia, a proposal has been made to allow pawnshops to accept cryptocurrency. One of the market’s major players has already sent the initiative to the Central Bank. Under the proposed arrangement, clients would be able to take out loans secured by cryptocurrency without parting with their coins, betting that their value will rise. If the loan is not repaid by the deadline, the digital assets would be sold immediately to cover the debt.
The Central Bank, acting as regulator, explained that current legislation does not allow pawnshop businesses to combine their operations with digital currency exchange services or the functions of a digital depository. At the same time, banks are already issuing loans secured by cryptocurrency assets on a trial basis.
The Central Bank, acting as regulator, explained that current legislation does not allow pawnshop businesses to combine their operations with digital currency exchange services or the functions of a digital depository. At the same time, banks are already issuing loans secured by cryptocurrency assets on a trial basis.