<ul>
 <li>Russia’s Ministry of Industry and Trade proposes delaying the digital ruble rollout by two years to address technical and operational challenges.</li>
 <li>The digital ruble, central to Russia’s de-dollarization strategy, faces resistance due to unprepared infrastructure and industry concerns.</li>
</ul>
Russia’s ambitious push to modernize its financial system with a digital ruble is facing a major hurdle. The Ministry of Industry and Trade has proposed a two-year delay in the rollout of its <a href="https://www.ethnews.com/india-considers-cryptocurrency-ban-in-favor-of-central-bank-digital-currencies-cbdcs/" rel="noopener noreferrer nofollow">central bank digital currency</a> (CBDC). This request stems from concerns over unprepared infrastructure and potential disruptions to businesses, especially in the retail sector.
Currently, a draft law outlines mandatory acceptance of digital ruble payments starting in July 2025. The proposed timeline has drawn criticism from industry stakeholders, who argue that the timeline is too short for adequate adaptation.
The Ministry has warned that businesses may struggle to align with the requirements, such as upgrading payment systems and training personnel.
According to the Ministry, the technological infrastructure essential for CBDC integration is still under development. In an official statement, the agency emphasized the need for
<blockquote>
 “clear operational parameters”
</blockquote>
and noted the significant effort required for software updates and workforce training.
The Ministry has formally requested a transitional period to avoid imposing undue pressure on businesses, many of which lack the capacity to meet the current deadlines.
The initiative to implement the digital ruble is part of Russia’s broader strategy to de-dollarize its economy. By reducing reliance on the US dollar, <a href="https://www.ethnews.com/russia-implements-tax-reforms-on-bitcoin-mining-and-crypto-transactions/" rel="noopener noreferrer nofollow">Russia</a> aims to insulate itself from economic sanctions and promote alternatives for international transactions, particularly within the BRICS bloc—comprising Brazil, Russia, India, China, and South Africa.
However, challenges have emerged. While countries like China support Russia’s de-dollarization drive, differing economic priorities within the BRICS nations pose significant obstacles.
For instance, India maintains strong economic ties with the US and holds substantial reserves in dollars. These divergences undermine the unified approach needed to advance shared goals like CBDC adoption.
Compounding these geopolitical challenges are widespread issues with CBDC implementation globally. Technical hurdles, consumer privacy concerns, and low public trust have stymied adoption efforts.
Even <a href="https://www.ethnews.com/how-europes-automotive-and-luxury-giants-face-chinas-economic-crisis/" rel="noopener noreferrer nofollow">China</a>, considered a frontrunner in CBDC development, has faced sluggish user uptake during digital yuan trials. High-profile setbacks, including the dismissal of key project leaders, have further complicated its progress.
Russia’s proposed digital ruble could be transformative, but its success hinges on resolving domestic and international barriers. For now, the country must balance its aspirations for financial innovation with the practical realities of implementation.
The post <a href="https://www.ethnews.com/russias-digital-ruble-rollout-faces-critical-setback/" rel="noopener noreferrer nofollow">Russia’s Digital Ruble Rollout Faces Critical Setback</a> appeared first on <a href="https://www.ethnews.com" rel="noopener noreferrer nofollow">ETHNews</a>.

Russia’s Digital Ruble Rollout Faces Critical Setback

ETHNews

Other articles published on Nov 28, 2024

OpenAI: Leading the Future of Artificial Intelligence

NYSE Arca Files to List Bitwise's Bitcoin-Ethereum ETP

BNB Chain: optimized gas costs, affordable swaps

NodePay's Roadmap To Better Crypto Payments

Sky Protocol’s Flagship Stablecoin $USDS Expands to Solana

Why Elmo ERC Token Has a Place in Ethereum's Ecosystem

Join our free newsletter for daily crypto updates!