The Russian CBDC appears to be well underway.
The Bank of Russia will start connecting all banks and credit institutions to the digital ruble network in 2024, according to the most recent monetary policy statement from the institution.
Russian CBDC launch to coincide with presidential elections
The year 2024 will be a significant year for Russia since the incumbent president, Vladimir Putin, has the constitutional right to be re-elected and the nation is likely to hold presidential elections in March of that year.
The central bank anticipates finishing customer-to-customer “real money” transaction trials, as well as testing customer-to-business and business-to-customer settlements, by that time.
The Bank of Russia also plans to start beta testing digital ruble-based smart contracts for trading by a small group of people in 2023.
The bank stated that it hopes to gradually proceed with the CBDC rollout, unlocking more trials and features year after year.
Digital ruble offline mode
The central bank plans to release the digital ruble offline mode by 2025, along with the integration of exchange infrastructure, non-bank financial intermediaries, and other financial platforms.
“The phased process of introducing the digital ruble will provide market participants with the opportunity to adapt to new conditions,” the Bank of Russia said.
In order to conduct cross-border and foreign currency operations using digital currencies, the Bank of Russia will also collaborate with other central banks creating their own digital currencies, the authorities said.
Following the formal introduction of its CBDC roadmap in Russia, the country launched its first digital ruble testing in February 2022. Twelve banks were selected by the Bank of Russia to test the digital ruble, including well-known institutions like VTB, Sber, Tinkoff Bank, and others.