After discussing the concept of the digital ruble, the Central Bank of the Russian Federation will proceed to testing the platform on which this asset will function.
The Chairman of the Bank of Russia Elvira Nabiullina announced this at a conference organized by the Association of Russian Banks. In October, the Central Bank of Russia began a public discussion of the possibilities of issuing a digital ruble.
Nabiullina said that the results of public consultations will be summed up in the near future. After that, the Bank of Russia will begin a detailed development of the concept of the digital ruble jointly with banks and other market participants. The next step will be the creation of a prototype of the platform on which the digital ruble will be serviced, as well as testing of this site. This will also require making appropriate changes to the legislation, Nabiullina said.
The Bank of Russia conducted a survey among 191 financial institutions. 71% of survey participants supported a two-tier system for using the digital ruble. Users can be served by banks by opening wallets on the Bank of Russia platform and carrying out transactions on it. The need to introduce digital currency was reported by 83% of participants. However, many banks are wary of introducing digital currency. At the same time, central banks of different countries are actively developing their own stablecoins.
According to Nabiullina, digitalization is already becoming a global trend, changing payment markets and consumer behavior of financial services. About 50 regulators are exploring the potential of government digital currencies, and some countries are at the stage of launching pilot projects. For example, the Chinese government has conducted citywide digital yuan tests in Suzhou and Shenzhen several times in the form of a free lottery.
The First Deputy Chairman of the Bank of Russia Olga Skorobogatova also said that at the first stages, the Bank of Russia may set a limit for citizens to transfer digital rubles from bank accounts to an electronic wallet. This is necessary to make it more comfortable for banks to work with the new mechanism and to make it easier to predict liquidity.
Earlier, the Chairman of the Bank of Russia has already said that testing of the digital ruble could begin in 2021. The digital ruble will provide maximum confidentiality, but it will not have the anonymity that is inherent in cash.
Telegram channel!
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
