Russia may start testing CBDC as early as 2021, and this may be a wake-up call for the US
The race between countries seeking to become leaders when it comes to Central Bank digital currencies has only intensified, as Russia may step in as early as next year.
Aksakov’s revelations, or the digital ruble is to be
A recent Forbes report quoted Anatoly Aksakov, Chairman of the state Duma’s financial market Committee and a member of the Central Bank’s National banking Council, as saying that the digital ruble is in development.
At the Blockchain Life 2020 forum, Aksakov assured that Russia will have a digital ruble, adding that this is the “future” of the country’s monetary system.
“I have always believed that the digital ruble is the future of our entire monetary circulation. We have already started consultations (on the digital ruble), and I think that the digital ruble will be tested, perhaps even next year.”
In several of its publications, the media has already reported that a state-backed digital currency that will be based on blockchain systems is likely to appear at the end of 2021. The token will also be used on DLT platforms, and businesses will be able to use it to track products throughout the supply chain.
The CBDC will be similar to the ruble and will be used as a means of payment, a measure of value, and a means of saving. According to the Central Bank, all variations of the ruble exchange rate will be equal: one cash ruble is equal to one non-cash ruble, and one digital ruble is equal to one cash ruble.
CBDC and the Blockchain, not the crypt
Although Aksakov praised the blockchain technology, calling it “the technology of the future”, with cryptocurrencies, unfortunately, this is not the case in our country. The official said:
“Currently, there are two equal positions on cryptocurrencies. The main opposition to crypto assets comes from the high risk they pose to financial institutions and ordinary people. This party tries to anticipate all the risks involved and possible reactions to them.”
According to Cambridge University, there are more than 12 million cryptocurrency users in Russia. Despite this, the government is going to adopt a new set of rules for the crypto space, which will come into force on January 1, 2021.
Under the new rules, people will be able to trade digital financial assets in Russia, but they will not be allowed to pay for goods and services with cryptocurrency.
“In my opinion, the law allows for a lot in the Russian regulatory framework,” says Aksakov, adding that many serious businessmen are already preparing to launch their digital financial assets.
A Wake-up call for America
Meanwhile, the Russian Federation’s joining the CBDC race may be the last warning for the US to somehow fix the situation. China is also close to rolling out CBDC in the near future, but nothing has come from us regulators yet. They are busy with internal squabbles and confrontations.
The only thing that could be seen was the US national security Council (NSC), which in one of its recent reports called DLT one of the most important areas for the country to maintain technological superiority over China and Russia.
And everything will be as always: senators call, they are not heard. And when we or China are on the verge of a real launch, there will be hysteria and excitement in the United States. Nothing in this world changes.