Nornickel, one of the largest nickel producers in the world, announced its plans to issue stablecoin, pegged to precious metals. According to Nornickel, the virtual asset will help to quickly attract funding bypassing long procedures.

Token from Nornickel

Nornickel will create its own cryptocurrency in the near future, and this token, unlike other crypto coins, will be backed by real assets, said Russian tycoon Vladimir Potanin, one of the owners of the company.

“Norilsk Nickel will soon launch stablecoin, pegged to the metals it mines. We will offer the market a crypto asset with less volatility than other well-known cryptocurrencies, and with more obvious ties with real values,” Potanin said in an interview with the Russian newspaper Kommersant.

According to Potanin, the launch of stablecoin will help the company to attract fast and cheap financing, while the traditional project financing is “a complicated and expensive procedure.”

“Stablecoin offers cheap financing, and we can attract a completely new group of investors with a very large total capital,” said Mr. Potanin.

The launch of Nornickel stablecoin is scheduled for approximately 2019.

Crypto world without sanctions

Potanin added that such a measure is one of the ways to protect his company from possible sanctions.

“All this digital staff is also about protection from sanctions, as they create possibilities of manoeuvring. In the crypto space, let's say, not all sanctions are applicable. The digital system is more democratic and less susceptible.”

Previously, various Russian parliamentarians declared in favor of launching official Russian cryptocurrency as they saw in it an opportunity to attract funding against the background of tougher sanctions from the United States, which practically blocked access of Russian banks and companies to the international capital market.