March 28, 2024

The Bank of Russia may launch a digital ruble by the end of 2021

The Bank of Russia may launch a digital ruble by the end of 2021

Elvira Nabiullina, Chairman of the Central Bank of Russia, said that a pilot project for the digital ruble could be launched by the end of next year.

According to TASS, during an online conferencethe head of the Central Bank said that if it approves the project, after discussing its feasibility, a full-fledged concept will be developed. After which, to test the functionality, a pilot launch will be carried out with the participation of a limited number of users, which will tentatively be carried out at the end of 2021.

Elvira Nabiullina also notedpotential of the digital ruble for the Russianeconomy and digital transformation of the financial system. By adding that the new currency will not displace cash and electronic money, but will complement them as a third form. For this, the regulator will provide the convenience of their mutual conversion.

The head of the Central Bank also touched upon the issue of confidentiality,having said that the digital ruble will have the maximum this parameter. Moreover, all transactions will be transparent and not anonymous, as is the case with cash. Before the project concept is approved, it is impossible to say whether the Central Bank will be able to track all transactions in the new system.

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