Russian banks are open to cooperation with their country’s authorities on the planned tests of the digital ruble. Five of them admitted that they wanted to help create CBDC.
Russian banks open to CBDC
According October 16 reportAs published by the Izvestia press agency, five Russian banks are interested in working on Russia’s CBDC. They want to take part in closed tests to be conducted by issuers. These, in turn, are to take place in the first half of 2021.
What kind of banks are we talking about? About the state-backed Promsvyazbank, the Credit Bank of Moscow, the commercial bank Zenit, the mortgage bank Dom.RF and the Russian National Commercial Bank of Crimea. An interesting example is the latter, who has already stated that he wants to provide the Crimea “The most innovative banking technologies”.
The Russian authorities have also admitted that the digital ruble will be used for distribution, among others social benefits. However, it is to be ultimately available for “All entities in the economy” ie citizens, businesses and also the government. The bank added that the ruble in its digitized form will have three basic functions of money: it will be a store of value, a unit of account and a medium of exchange.
The Bank of Russia also said that digital ruble users will be able to store and send it using “Equivalent of a bank card”. To accept the digital ruble, sellers will have to “Change the configuration of payment terminals”.
A long way to the ruble in the digital version
Anatoly Aksakov, a member of the Russian State Duma and a key politician in the country who deals with cryptocurrencies in parliament, said Russia was ready for the widespread adoption of the digital currency in terms of technology and law. He added that the first e-ruble pilot programs will start in 2021 after the entry into force of the Russian law “About digital financial resources”. This one is to take effect on January 1.
It is worth recalling that the debate on the digital currency of Russia has been going on in this country for several years. Earlier, for example, the “KryptoRublu” was discussed, which was to be a digital reflection of the fiat currency (it was not planned to use a blockchain in its design). The technological details of the final version of the digital currency of Russia are not yet known.