Central Bank of Russia reportedly is testing its own digital currency – a stablecoin backed by assets. Recently, Elvira Nabiullina – the Head of the bank talked about their plan and movement towards digital currency space. She also hinted about testing their own digital currency in a regulatory sandbox. The digital currency is specifically designed for companies that want to issue tokens backed by real assets.
<h2>The Bank Head stated:</h2>
Elvira Nabiullina stated, “First of all, we need to understand what will be the advantages to our citizens, for business, for example, compared to instant payment systems because the issue of the digital rouble can have serious consequences leading to changes in the structure of the financial market, deposits outflows, and funds redistribution.”

She also mentioned that in the last few years, the demand or interest in cryptocurrencies has gone down in the country. But there are people who still believe in the possibility of private money without government involvement.
<h2>The emergence of CBDC</h2>
The rise of state-backed stablecoins is visible for several months. The CBDCs or Central Bank Digital Currencies started gaining significant observation after the announcement of Facebook’s <a href="https://twitter.com/Libra_">Libra</a>. Initially, the social media giant mentioned that Libra will be used for global payments and will be backed by a reserve of assets. However, Libra has got into many controversies, but supposedly that was the main reason behind the surging interest on CBDC across the globe.

One of the first countries to adopt the concept of CBDC is <a href="https://www.cryptoknowmics.com/crypto/china-issues-blockchain-based-bonds-worth-28-billion/">China</a>. Initially, they planned to launch their digital currency in November which didn’t happen. But the Head of People’s Bank of China announced to launch such an asset soon.

Recently, an official draft from the Europen Union also suggested digital currency in association with European Central Bank.

There are several other nations who are currently working on their CBDCs. Bank of France is reportedly starting to test its own currency by 2020. Turkey is also working on digital Lira which will supposedly be completed by the end of 2020. Central Bank of two gulf nations Saudi Arabia and UAE announced to launch CBDC named Aber in November. Other countries that have already launched their digital currencies are Barbados, Uruguay, etc.

Central Bank of Russia testing its own Digital Currency

Central Bank of Russia reportedly is testing its own digital currency. the Head of the bank talked about their plan towards digital currency space.

Debarati is a finance MBA who is a keen observer of the current crypto currency market. She likes to read and write about the game changer and industry transforming news of the market.

Central Bank of Russia testing its own Digital Currency

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