Bank of Russia to test digital ruble in real estate transactions in spring 2023

In the second phase of the pilot launch, the asset will be integrated into smart contracts

22.06.2022 - 09:30

320

2 min

What’s new? In spring 2023 the Bank of Russia will test the digital ruble in real estate transactions, regular transactions, and payment upon receipt of goods. This is reported by Izvestia, citing the Central Bank’s own sources. Representatives of the regulator explained that the digital ruble will allow to track the intended use of funds and increase the security of transactions.

Izvestia’s material

What else is known about testing? The first phase will begin in April 2023. It involves testing scenarios that automate the interaction between citizens and businesses using a central bank digital currency (CBDC). The Bank of Russia added that the legislative and regulatory framework for the circulation of the digital ruble is also being prepared in parallel with the testing of the platform.

In the second phase, the plan is to integrate the asset into smart contracts. According to the Central Bank’s representatives, it is this technology that will allow tracking of the movement of funds. It is primarily aimed at state payments and subsidies, such as maternity capital, in order to increase the transparency of transactions and eliminate the possibility of misuse of budget funds. All settlements will go directly from the digital ruble wallet at the Central Bank, rather than through the Treasury.

Initially, testing of the digital ruble was planned to start in 2024, but the development of the project was accelerated due to sanctions. A total of 12 banks will take part in the testing: SberBank, VTB Bank, Gazprombank, Alfa-Bank, Bank DOM.RF, Rosbank, Promsvyazbank, Tinkoff Bank, SKB-Bank, Ak Bars Bank, Transcapitalbank and Bank SOYUZ.

Author: