Russia's Central Bank Unveils Digital Ruble Strategy

According to Odaily, the Central Bank of Russia has outlined its business model for the central bank digital currency (CBDC), the digital ruble. By the end of 2025, all digital ruble transactions will be free of charge, with the first banks and merchants expected to go live by July 1. The central bank aims to generate revenue by operating the system. However, during a recent hearing at the Russian State Duma, the Association of Russian Banks (ABR) expressed dissatisfaction with the plan. Banks are concerned about potential outflows of deposits and high deployment costs. The central bank reportedly does not intend to limit the amount of CBDC holdings. According to Info24, ABR Chairman Anatoly Kozlachkov noted that the setup cost for each bank is approximately 100 million rubles (1 million USD), while some banks have capital as low as 3 million USD.