Digital Currencies Could Outshine SWIFT System, Says Central Bank of Russia’s Deputy Governor
(Source bitcoin.com) The first deputy governor of the Central Bank of Russia has been vocal in a recent online meeting, reported by Russia Today, about the topic of digital currencies challenging the SWIFT international payments system and make it redundant. The SWIFT system is used in more than 200 countries between 11,000 financial institutions to arrange cross-border payments. Still, the major disadvantage of processing transactions through such networks is the slowness and the expensive costs it carries. The Central Bank of Russia is working on its own CBDC, digital ruble, as they are planning to launch a series of tests similar to those performed by China. Five Russian banks already expressed interest in participating in the CBDC pilot. The State Duma, the Federal Assembly of Russia’s lower house, expects the digital ruble experiment to start in the first half of 2021.