Moscow is showing growing interest in developing blockchain technology. Russian President Vladimir Putin recently endorsed the technology and Russia's largest national bank has set up a lab to study the uses of blockchain. Lawmakers are also debating legislation that could lead to Russian breakthroughs in the sector, as our correspondent Julia Lyubova reports from Moscow.

Russia's largest state-owned Sberbank says it has successfully completed the country's first commercial bond transaction using blockchain technology. The transaction was carried out by Sberbank CIB, the corporate and investment banking branch of Sberbank. It comes after Russian President Vladimir Putin has called on Russian businesses to embrace and develop digital technologies.

VLADIMIR PUTIN RUSSIAN PRESIDENT "We need to build our own digital platforms, compatible with the global information space. Active introduction of digital technologies and platforms will allow us to consistently increase the transparency of our economy."

Earlier this year, Sberbank opened a block-laboratory for researching the latest technologies. The lab will work with start-ups and various associations. Its plans are to popularise the blockchain. Analysts say that many Russian businesses have been ready for a long time for digital innovations but lack the legislative support. 

YURIY PRIPACHKIN, PRESIDENT RUSSIAN ASSOC. OF CRYPTOCURRENCIES AND BLOCKCHAIN "We think that all digital operations have to be controlled by the Central Bank. New terms and definitions of cryptocurrencies need to be entered into the Civil Code as payment methods. If this will be done, the industry will be happy to work here."

Authorities in Russia have been suspicious of virtual money. However, with the new government's push for a lead in this area, a Deputy Prime Minister for digital economy has been set up in the new government to oversee the industry. 

JULIA LYUBOVA MOSCOW "Russia's Lower House of Parliament, the State Duma, is now debating a new bill which aims to regulate the possession and creation of crypto currency in Russia. However, the debate is likely to last for some time and needs the agreement of the Central Bank and other governing bodies. But its only with the legislative support in place, can Russian businesses continue to develop Russia's digital sector."

JL, CGTN, Moscow.