Moscow at night (Shutterstock)
Expobank, the former Russian subsidiary of global investment bank Barclays, has followed Silvergate and issued a loan that uses tokens, in this case, WAVES, as collateral.
The loan was made to an entrepreneur and tax consultant, Mikhail Uspensky, who bought WAVES in 2018 for a planned initial coin offering (ICO). When that fell through he tried staking them, before ultimately deciding to negotiate a token-collateralized loan with Expobank – who, it turns out, was receptive to experimenting with new loan issuances.
The tokens are now being held by a third-party notary. The loan amount, as well as the terms of the agreement, have not been disclosed.
Barclays acquired Expobank for $745 million, months before the 2008 financial crisis. The new Russian subsidiary failed to gain much traction in its home market and the U.K. investment bank sold it on to notable local banker Igor Kim for an undisclosed sum in early 2019.