Russia is planning to launch a digital currency that will be used by the banks in the country. The Bank of Russia has continued working towards the launch of a central bank digital currency (CBDC), which they plan to roll out over the next few years.
Russia to release the digital ruble in 2024 to banks
The Bank of Russia has released a 2021 update for its monetary policy, and with it, plans to make the Russian ruble a digital currency. The March 2024 presidential elections in Russia will be hosted digitally as well.
By the CBDC launch, the Bank of Russia expects to have trials for transactions via digital currency finalized. They plan to beta test smart contracts for trades in 2023 and only allow select participants.
The bank is gradually planning to go ahead with its CBDC plans. The features will be launched and trials will be conducted annually after the Federal Treasury is ready for digital rubles. They will support various payments, including consumer to government, business to government, and government to business.
The Bank of Russia will work with other central banks to launch their CBDCs to distribute payments and exchange foreign currencies.
Elements of Russia’s CBDC plan
Russia has begun the trial process of its CBDC, which it launched in February this year. With this announcement, we now also have the original roadmap for it and for a digital ruble.
