CBDCs to Become Global Settlement Standard Within Five Years, Says Russian Central Bank Chief

CBDCs to Become Global Settlement Standard Within Five Years, Says Russian Central Bank Chief

According to CryptoSlate, Chairman of the Russian Duma's Financial Markets Committee, Anatoly Aksakov, stated that "central bank digital currencies (CBDCs) will become the global standard for international settlements within the next five years." He further explained that "Russia may start using the digital ruble in international transactions as early as the second half of 2025, after first testing it domestically before expanding its use internationally." Aksakov added that "initial testing of the CBDC for international transactions could involve countries like China and Belarus." The move towards CBDCs as a global settlement standard is seen as a way to reduce the costs and inefficiencies of the current system, which relies on correspondent banks and the SWIFT network. CBDCs are digital currencies issued by central banks, and they are backed by the full faith and credit of the issuing government. This makes them more secure and stable than cryptocurrencies like Bitcoin, which are not backed by any government or central bank. The development of CBDCs is still in its early stages, but it is clear that they have the potential to revolutionize the way that international payments are made.