Several financial institutions within Russia have expressed their interest in testing the country’s CBDC [Central bank digital currency].
In line with an official report by native reporting media ‘Izvestia’, a min of 5 Russian banks have an interest in participating in Russia’s non-public digital ruble pilots within the half of 2021.
The list of banks embodies state-backed Promsvyazbank, the Credit Bank of Moscow, commercial bank Zenit, mortgage bank Dom.RF, and Crimea’s Russian National Commercial Bank. As reported, the latter wants to be actively involved within the first pilots so as to supply Crimea with the “most innovative banking technologies.”
As per the report, the financial institution is considering employing the digital ruble to distribute salaries and benefits once the currency is publicly adopted. The Bank of Russia reportedly added that users will be able to store and transfer the upcoming virtual assets via an “analog of a bank card.” So as to simply accept the digital ruble, merchants will need to “reconfigure payment terminals,” the report adds.
Anatoly Aksakov, a member of the Russian State Duma and a key representative of Russia’s cryptocurrency-related legislation efforts, added that Russia is prepared to adopt the virtual currency in terms of technological and legal aspects. The official reportedly added that the primary digital ruble pilots are expected to launch in 2021 after Russia’s law “On Digital Financial Assets” is adopted on 1st Jan.
The news comes shortly after Russia’s financial institution officially accepted its plans to issue a CBDC by publishing a consultation paper on the digital ruble on 13th Oct. The bank said that the digital ruble will be an additional form of money along with cash.