Russian Central Bank: No Obvious Need for National Digital Currency

Russian Central Bank: No Obvious Need for National Digital Currency

Bank of Russia chair Elvira Nabiullina downplayed any possibility that the central bank might issue its own national digital currency, noting that there was no obvious need to do so, Tass reports. Nabiullina made the remarks during this week’s Finopolus forum on innovative fintech in Sochi, Russia.

In remarks directed to People’s Bank of China deputy governor Fan Yifei, Nabiullina said:

“As Russia’s Central Bank, we have been studying this topic and the need to issue a national cryptocurrency is not obvious for us. Not only for technological reasons, but also because it is (difficult) to really estimate what advantages will the national digital currency give, for example, in comparison with existing electronic non-cash payments. There are many risks, and the advantages may not be obvious enough.”

Nabiullina also reaffirmed the bank’s opposition to legalizing digital currency payments. She did, however, acknowledge the potential benefits blockchain technology can provide.

For his part, Fan Yifei acknowledged that China is still considering the issuance of its own national cryptocurrency but gave no estimates as to when it might be launched. Instead, he stressed the need to continue to study the technology and review other countries’ experiences. He also emphasized the need for international cooperation to on regulatory standards for the technology.

This is a reprinted article

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