Russia seems to be gliding ahead with its central bank digital currency [CBDC] plans. The country was seen walking in the footsteps of China as its sprucing up its CBDC game.
An array of countries were seen elevating their efforts towards digitalization. The pandemic undoubtedly paved the way for less human contact and more virtual connections. This further acted as a catalyst for the fast-paced development in the digital sector. The Bank of Russia reportedly revealed that a prototype of the digital ruble would be making a debut by the end of 2021.
Russia Sprints Towards CBDC Development
A local news portal reported that the Bank of Russia would start testing the digital ruble in 2022. Russia was a little late in terms of getting on to the CBDC bandwagon as one of the country’s regulators spoke about the idea of the digital ruble only last October. Nevertheless, Russia seems to be zooming ahead with this plan.
Speaking at an online meeting preceded by the NES, the Deputy Chairman of the Central Bank Alexey Zabotkin said,
“By the end of the year, hopefully, we will be able to present a prototype of the digital ruble platform – some technological platform that can be rotated in the hands, but within which real transactions cannot yet be made. Next year, based on this prototype, taking into account its revision we will already be launching testing rounds.”
The country even went on to seek consultation from the public for the development of the digital ruble. A 48-page paper was released over the prospects of CBDC.
In the meantime, China is moving ahead at full speed with respect to its CBDC development. The digital yuan has been given to the public for testing and two new departmental stores just supported this. Other countries like Japan and the UK are also probing the possibilities of rolling out a CBDC.