Russian President Vladimir Putin signed the digital ruble bill into law on July 24.
The Russian government’s central bank will be in charge of the digital ruble’s infrastructure.
The legislation governing the digital ruble has been approved and will go into effect on August 1, 2023, with the exception of one restriction. Article 3 is scheduled to go into effect in Russia in August 2024. Moreover, it amends various federal laws, notably those pertaining to bankruptcy and inheritance.
According to a government document, Russian President Vladimir Putin signed the digital ruble bill into law on July 24. Also, this means that Russia is going ahead with its central bank digital currency (CBDC).
Third Form of Money
Moreover, the new law gives the Russian central bank the green light to begin testing CBDC with actual users in August. Trials were originally planned to begin in April in conjunction with 13 local banks, including major players like Sberbank.
The Russian government’s central bank will be in charge of maintaining and protecting the digital ruble network as stipulated by the new legislation. The digital ruble’s only function is to facilitate transactions and wire transfers; it is not an asset in and of itself.
Furthermore, it is anticipated that the digital ruble will function as a third form of money, joining the cash and non-cash rubles now in use. Also, Elvira Nabiullina, governor of the Bank of Russia, allegedly said on July 24 that the CBDC would not be mandatory and that the usage of the digital ruble will be up to people to choose.
Moreover, Deputy Governor of the Bank of Russia Olga Skorobogatova has said that widespread use of the digital ruble in Russia is not expected until 2025 or 2027