Marking, tracking of digital rubles to be considered at later stages of rollout - CBR deputy governor

MOSCOW. Sept 6 (Interfax) - The issue of marking and tracking digital rubles will be considered at later stages of their introduction, Central Bank of Russia (CBR) deputy governor Alexei Zabotkin said.

"This possibility will be considered at later stages of the promotion of the digital ruble," Zabotkin told reporters on the sidelines of the digital finance forum organized by ACRA.

"Restrictions on the use of money reduce its liquidity. Major restrictions on what you can spend a specific unit of money on make this money less valuable compared to money that you can spend on anything, so we need to be very careful about the issue of such a feature. Theoretically, such a possibility is actually available," Zabotkin said at the forum.

The concept for the digital ruble published in April 2021 envisioned that smart contracts - transactions executed automatically when conditions previously set by the parties occur - would be an additional feature of the digital currency platform.

One of the additional options for using smart contracts could also be marking of digital rubles, making it possible to set conditions for spending them, for example designating specific categories of goods and services that can be acquired with them, and tracking the whole chain of such rubles' passage, the concept said.

The CBR began testing transactions with real digital rubles on August 15, and plans to put the digital ruble into wide circulation gradually starting in 2025.

The digital ruble is the third form of national currency that the CBR plans to issue in additional to existing cash and noncash money. The advantages of the digital ruble for individuals and businesses include access to wallets through any bank; standard rates for transactions, making it possible to reduce their cost; the ability to use this form of money without Internet access; high level of safety and security; an expanded line of innovative products and services; and improvement of customer service conditions, the CBR said earlier.

Deposits to digital ruble wallets from funds in bank accounts are currently limited to 300,000 rubles per month.