Russia circumvents sanctions, tramples Bitcoin and launches its own digital currency

The President of Russia, Vladimir Putinannounced on Wednesday that the recently launched digital ruble is ready to be fully incorporated into the country’s economy.

The statement came during a government meeting focused on economic issues, marking the end of the electronic currency’s testing phase.

Putin highlighted the success of the pilot project, emphasizing that the digital ruble platform has proven to be efficient and functional.

“And now we need to take the next step, namely, move towards a broader and large-scale implementation of the digital ruble in the economy, in business activities and in the field of finance,” he said, indicating that future discussions with regulators will be held to accelerate this process.

O Bank of Russia introduced the idea of ​​a national digital currency in end of 2020and the digital ruble became officially operational in August 1st of the previous year.

Unlike cryptocurrencies like Bitcointhe digital ruble is an electronic version of the national currency, issued and backed by the Central Bank.

According to regulators, the aim is to facilitate transfers and payments within and outside Russia, regardless of banking restrictions.

Putin also pointed out the convenience of the new system, which allows citizens and companies to carry out transactions regardless of the bank where they have an account.

During testing, 12 benches, 600 individuals e 22 companies of 11 Russian cities participated, carrying out more than 27,000 transfers e 7,000 payments by assets e services.

Additionally, more 21 banks are preparing to join the project by September this year. The regulator has already started testing international transactions with the digital ruble, it revealed Olga Skorobogatovafirst vice president of Bank of Russia.

The governor of the central bank, Elvira Nabiullinaestimates that the full adoption of the digital ruble for mass use could take 5 to 7 years, highlighting the importance of convenience for the choice of individuals and companies.