Russia announces official launch of its CBDC in 2025

The Central Bank of Russia has confirmed that the digital ruble, the country’s central bank digital currency (CBDC), will be officially launched by June 2025. The announcement puts the country ahead of Brazil, which does not yet have a launch date for Drex before 2026.

Starting July 1 of that year, major Russian banks will have to offer their customers the option of making transactions with the digital currency. In addition, it will allow the management of bank accounts using the CBDC.

The announcement marks an important step in Russia’s move towards digitalizing its economy, and the digital ruble is expected to increase the efficiency of payments and financial transfers across the country.

According to the plan, companies operating in Russia will also have to accept payments in digital rubles via QR codes. The aim is to facilitate access and promote the adoption of CBDC among consumers and businesses, integrating the new digital currency into the daily lives of Russians.

Russia’s CBDC

To ensure the success of the digital ruble, the Central Bank of Russia is conducting a pilot project with 15 of the country’s leading banks. The test aims to assess the usability and efficiency of the digital ruble before its nationwide rollout. During the pilot, factors such as transaction speed, system security and user acceptance are being analyzed.

In addition, legislative changes are being proposed to the Ministry of Finance to ensure the necessary legal basis for the mass adoption of the digital ruble. These changes include mandatory acceptance of the digital currency by merchants and specific regulations for the use of CBDC in the Russian banking system.

The launch of the digital ruble is also related to international sanctions imposed on Russia, mainly by the United States, as a result of political tensions and regional conflicts.

To circumvent these sanctions, Russia is exploring the use of cryptocurrencies for cross-border transactions. As of September 1, 2024, the country has legalized the use of cryptocurrencies for international payments, which represents a strategy to reduce the impact of financial restrictions imposed by other countries.

Russia has also legalized Bitcoin mining, requiring miners to comply with anti-money laundering and tax regulations. This move, coupled with the launch of the digital ruble, highlights Russia’s proactive approach to adapting its digital economy and minimizing the effects of international sanctions.

With the digital ruble, the Central Bank of Russia hopes to modernize the financial system by making transactions faster, safer and more accessible. Adopting the digital ruble could reduce costs for businesses and consumers while providing greater transparency and control over financial transactions.