Nikolas Sargeant
Russia’s Central Bank has enlisted Tatarstan to help test new smart contract functions for the digital ruble, as the country continues to explore the potential of its central bank digital currency (CBDC). The Central Bank has tasked Tatarstan with piloting various mechanisms, including conditional spending and subsidies using the digital ruble. This initiative follows the establishment of a working group by Tatarstan’s Ministry of Finance to oversee the project and its experimental platform.
The goal of the testing is to explore the feasibility of conditional CBDC transactions, particularly targeted subsidies from the national budget. These transactions will be converted into smart contracts, with the digital ruble platform independently managing the flow of funds. This marks a significant step in Russia’s CBDC pilot, which has faced delays and uncertainty in recent months but is far from being abandoned.
Tatarstan is no stranger to digital ruble tests, having been part of previous CBDC trials since August 2023. The republic’s involvement will continue into 2025, with a planned conclusion of the testing by the third quarter. The project will be closely monitored by Tatarstan’s Finance Minister Marat Fayzrakhmanov and the region’s Minister of Digital Development Airat Khairullin, ensuring seamless implementation of the digital ruble system.
In parallel, the Moscow Metro is expanding its own CBDC testing, working alongside the Central Bank and VTB bank to introduce the digital ruble into its public transportation system. The metro was the first to test the digital ruble with the Troika card, and this expansion signals Russia’s ongoing commitment to exploring the functionality and applications of its digital currency, despite setbacks in the planned national rollout.
