The digital ruble poses risks to Russia’s financial sector and to information security. This follows from the conclusion of the State Duma Committee on the Financial Market.
The document responds to the Bank of Russia’s “Main Directions of Monetary Policy” through 2024, which, among other things, cover prospects for the introduction of a national digital currency.
In the committee’s view, the new form of money will increase competition in the banking sector, which could reduce banks’ profits and strengthen the state’s role in the financial sector.
“Moreover, the introduction of the digital ruble carries new risks, for example, in the area of information security,” the deputies stressed.
They recommended that the regulator analyze threats to macroeconomic stability and the resilience of the banking sector, and identify potential measures to respond to the risks if they materialise.
Overall, the Committee concluded that the digital ruble model enables fast, simple and secure payments and helps reduce the cost of payment services.
“The Committee positively assesses the analysis of introducing the digital currency and believes that an analysis of the impact of cryptocurrency proliferation in global transactions could also be interesting,” the document says.
Earlier, the chairwoman of the Bank of Russia, Elvira Nabiullina, stated that the domestic CBDC will become a full replacement for cryptocurrencies for Russians and listed the conditions for its adoption.
Earlier, the Bank of Russia and the Ministry of Finance confirmed plans to launch the digital ruble as a third form of money by 2030.
Testing of the new financial instrument will take place across 12 banks in the first quarter of 2022.
At the same time, the State Duma will begin work on amendments to the legislation necessary for the introduction of the digital ruble into the country’s economy.
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