Named the pros and cons of the digital ruble for the Russians

The authorities decided to supplement the cash, which is so badly lacking for ordinary Russians, with digital rubles. On August 1, the corresponding law comes into force in Russia. While its implementation is still in pilot mode, it will involve clients of specially selected 13 banks. Mass circulation of digital rubles to the people will begin in 2025.

The head of the Central Bank Elvira Nabiulliina herself notes a certain skepticism in society in relation to the digital ruble. But, according to her, this is a completely normal reaction to any innovation.

Here we must agree with the head of the regulator: for Russians today, it is much more important to stop the growth of inflation so that consumer prices in stores do not rise. And how it is more convenient for us to pay for goods and services, we will figure it out ourselves – it would be something to pay for.

But back to the digital ruble, which sooner or later will come into our lives. To conduct transactions with it, you need to open a digital wallet. This can be done on the platform of the Central Bank through any mobile application of the bank in which an individual has an account.

Experts explain how to replenish the wallet with digital rubles. The technology is simple. If you have cash on hand, you need to deposit the required amount into your account through an ATM or cash desk of the bank, where they become non-cash. And already from this account, funds are transferred to digital ones. If you need to receive cash from a digital wallet, everything happens in reverse order.

And then, according to the plan of the regulator, the digital ruble begins to have solid advantages over other forms of money circulation. In particular, it can be used to make transfers to each other, pay for goods and services using a QR code. Settlements in them are carried out faster than in non-cash form. At the same time, commissions for transfers of new rubles are not provided at all. True, when using digital rubles, cashbacks are excluded – a refund to the buyer’s card.

In general, in the country, voluntarily to choose from, there will still be three forms of payment: cash, non-cash or digital rubles. As the Central Bank emphasizes, they are all equal in value. But we understand that with all the alternatives of choice, the main thing is that the money is in your pocket, on a bank account or in a digital wallet. Well, if not, then no, as they say, and there is no trial ….

PhD in Economics, financial analyst Mikhail Belyaev urges Russians not to take the topic of the digital ruble into their heads and reduce the degree of discussion. “For the time being, it cannot be put on deposit and receive interest,” he says. – But there are several options that are preferable to a non-cash ruble. For example, money transfers – they are supposed to be without commission, and not at 1.5-3%. If it is beneficial for someone, let him use a digital wallet. And if you don’t need it, then you can use cash or non-cash money.

He also predicts that slowly but surely the digital ruble will find its niche – pensioners, state employees, and the same military will be transferred to this format. Cash flows through commercial banks can be tracked, and when they are on the platform of the Central Bank, they have greater security and confidentiality.

– The digital ruble is another electronic form of payment, the same as a bank account, – explains Alexander Safonov, professor, Vice-Rector of the Financial University under the Government of the Russian Federation. – The peculiarity is that it is issued directly by the Central Bank, each ruble is “marked”, has its own unique code. And when you pay them, you can trace the entire chain of its passage to the addressee. In this sense, it is more protected from scammers.

– Probably, it is more convenient for the Central Bank to control the movement of funds? After all, the consumer does not care whether to pay from a non-cash bank account or from his digital wallet?

– There is no difference, the cost of the ruble in cash, non-cash or digital is the same.

– Can scammers use someone else’s digital wallet?

– You can steal any money, there are no guarantees. But the digital ruble is stored on a server in the Central Bank, and you have it in a special wallet on a flash drive. If attackers steal this flash drive from you, then they will steal all the money. However, as I said, the Central Bank sees the way of the ruble, and the criminal can be found.

– Will this monetary form be in demand among the people?

– As an extra, yes. But as the main payment, I think not. So far, the prospects for the digital ruble are unclear. In my opinion, today it is more relevant for the regulator. In the future, it is possible to exchange digital payments in national currencies with other countries – if such agreements are concluded. As alternative payments through the SWIFT system.

Bitcoin is a global digital currency, accepted in all countries. And the digital ruble is only inside Russia.

– Probably, this is one of his main shortcomings?

– Here we can add that it is inconvenient for those who do not want to “shine” their income. And the convenience lies in the control over the movement of funds.