The central bank of Russia is outlining its plans to test the digital version of its currency.
The head of the central bank of Russia Elvira Nabiullina announced at an online conference that the pilot test phase of the digital ruble could be launched before 2021 expires, according to Russian news agency TASS.
“After the discussion of the consultation report takes place, we collect feedback by the end of the year. Then we will process them. If a decision is made on the feasibility of launching the digital ruble, we will prepare a full-fledged concept.
Then, in our opinion, there should be a stage of piloting with a limited number users in order for everything to be worked out, so that we understand how it works. We consider such piloting to be possible somewhere by the end of next year.”
The head of Russia’s central bank also stressed that it’s not the goal of the digital ruble to replace paper money.
“We do not set the task of ousting some kind of money, it will be, in fact, the third form of money, along with cash and non-cash, which now exist.”
In terms of data privacy, the digital rubble will have no feature of anonymity, highlights Nabiullina.
“There will be no anonymity in the sense that there is in cash. But it is assumed that confidentiality will be strengthened… Maximum confidentiality is the main task when introducing the digital ruble.”
The development of the digital ruble is a step in the direction of digital transformation, says the regulator.
“In our opinion, it fits very organically into what is called the development of the digital economy as a whole. Digital transformation is taking place. Of course, there must be a transformation of the settlement system.”
