Russia’s Richest Man to Tokenize Palladium

FILE PHOTO: Vladimir Potanin, co-owner of Norilsk Nickel, attends an agreement-signing ceremony with the Krasnoyarsk region's government, in Moscow, Russia December 12, 2017. REUTERS/Sergei Karpukhin/File Photo

Russian billionaire Vladimir Potanin wants to launch tokens pegged to the precious metal palladium.

Potanin (on the photo) also wants to establish a regulatory framework for digital platforms in order to promote use of tokens in Russia.

“Transactions in tokens are simpler and more convenient,” Potanin said, as reported by Bloomberg. “People more and more tend to use decentralized networks and platforms that don’t have a main operator. We want to be active participants of this process.”

Potanin, whose net worth tops $18 billion, is the richest man in Russia and the CEO of Norilsk Nickel, a nickel and palladium-mining company.

The Russian oligarch wants to launch several digital platforms, including one that will use cryptocurrency tokens for trading palladium.

Potanin estimates that he’ll have to invest $5 million to $6 million to launch all the platforms. He projects that it will cost several million dollars a year to keep them operational. However, he says if his plan works, the payoff would be tremendous.

“If we succeed, the effect will be enormous.”

Potanin’s company, Norilsk Nickel, is the world’s top palladium producer. Norilsk Nickel is currently negotiating with Swiss authorities to issue digital tokens through its Switzerland-based palladium fund.

Potanin says he could start working on creating the digital platforms before the end of 2019, if he can get regulatory approval.