Russia to unveil digital ruble prototype later this year
The Bank of Russia plans to unveil a prototype version of the digital ruble platform before the end of the year. A senior official of Russia's central bank confirmed this in a report by local news outlet Prime.
According to Prime's report, deputy chairman Alexey Zabotkin said the unveiling of the prototype this year would be followed by extensive tests in 2020. The tests are to ensure that the digital ruble fulfills a currency's requirements and can be adopted in Russia and beyond.
Russia increases effort to develop CBDC
Several countries globally are increasing their efforts towards developing central bank digital currencies (CBDCs). Russia is the latest country to show its interest and back it up with efforts. Elvira Nabiullina, governor of the Russia’s apex bank, revealed in October that CBDC was hypothetical at the time.However, she said the CBDC would act as a third form of money since it wouldn't replace cash and non-cash digital payments. Instead, the digital ruble would provide users with an additional payment choice. While the CBDC wouldn't promote anonymity, the governor said it would boost confidentiality for people using them. Zabotkin is optimistic that the CBDC infrastructure would be ready before the end of the year.
China is actively experimenting with its CBDC and is monitoring its real-life impact on the economy. Several countries are looking to follow the same path, thanks to the rise of cryptocurrencies and other digital currencies over the past few years.
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