The aim is to make payments more efficient and reduce transaction costs; The test phase begins in August
Russian President Vladimir Putin approved the launch of the digital ruble this Monday (July 24, 2023). The aim is for the currency to make payment transactions more efficient and reduce transaction costs. The test phase begins in August. The information comes from the Russian news agency Tass.
The pilot project will initially involve 15 creditors in the country. Transactions for individuals will be free, but businesses will have to pay a 0.3% fee on wire transfers. The difference between ordinary and digital rubles is that virtual currency cannot be converted into physical banknotes.
The transactions are settled on an electronic platform operated by the Central Bank of Russia. The financial institution is also responsible for the assets held in custody.
According to the law passed by the Russian government this Monday (July 24), it is not possible to open a bank account or take out a loan with digital rubles. The law also prohibits nonparticipating institutions from using words related to the “digital ruble” for advertising purposes.
Similar projects are already being developed in countries such as China, Japan and Brazil.