Russia Set to Launch Digital Ruble Prototype Next Year

Russia’s Central Bank Governor, Elvira Nabiullina, recently mentioned that the country has plans on how to test its Central Bank Digital Currency (CBDC), the digital rouble.

In a Tuesday report by Reuters, the governor made it clear that Russia is going to have a prototype of the digital rouble early next year.

However, according to Nabiullina, the country may not launch its digital currency until it has completed the testing phase sometime in 2022.

Testing the digital rouble prototype will afford the country ample time to determine whether or not to launch its central bank digital currency next year or any time in the future.

Today’s move follows an earlier announcement that Russia is considering creating its native cryptocurrency. But not as a replacement for the existing cash, rather, it would serve as an additional form of fiat currency for the country.

The central bank governor seems to have changed her view of cryptocurrencies over time. In the past, she did not envisage any advantage for the country launching a cryptocurrency, even though she saw the good in blockchain technology as a game-changer.

Russia’s Interest In Digital Space

Russia is beginning to pay attention to growing its digital economy. It has since seen how cryptocurrency and blockchain technology have greatly impacted global payment systems, industries, and other countries’ economies.

Mikhail Mishustin, Russia’s prime minister, recently proposed that the country’s tax code could be amended to recognize bitcoin as property under the tax code as a means of protecting crypto holders and contributing to the development of the crypto space.

As it stands, the country is yet to decide whether it will launch a digital currency or not. It is still limping on several opinions and is yet to draw a conclusion.

In a similar development, Coinfomania reported that India is planning to start the first trial of its Central Bank-backed digital currency in December after China’s successful completion of its CBDC trials on several occasions.