Economist: «The measure is ahead of events»
The digital ruble project, which has remained an abstraction for most Russians, a parallel reality, has acquired a new, quite tangible quality. On August 1, the law on the procedure for inheriting this national electronic currency, issued exclusively by the Central Bank, came into force. The document provides for the possibility of bequeathing rights to digital rubles, including through testamentary dispositions.
To formalize such an order, you do not need to contact a notary; the entire process will take place at the bank where the testator has an account. Digital rubles, as in the case of ordinary money, the heirs will be able to receive before the expiration of six months from the date of opening of the inheritance.
Recall that until recently the domestic currency unit existed in two forms — cash and non-cash. Now a third is being added to them. According to the authorities, the digital ruble has confirmed its effectiveness at the testing stage, the first stage of which began in August 2023 and took place with the participation of 600 citizens of the Russian Federation.
As part of the test, clients opened «state crypto wallets», transferred digital rubles to each other and paid for purchases. The head of the Central Bank Elvira Nabiullina admitted that the mass introduction of the innovation in the financial sector and economic activity will occur in 2025. According to her, no one will be «forced» into the digital ruble; for people, this is just a voluntary, additional opportunity. Experts shared their views on the prospects for the spread of the digital ruble with us.
“Currently, the digital ruble and digital financial assets are perceived by retail investors as a novelty, which they are not in a hurry to invest in, taking a wait-and-see attitude. However, in the future, such assets may be in significant quantities not only among those engaged in investments and foreign economic activity, but also among ordinary Russians. Under sanctions, the economy is in dire need of something that is difficult to block or restrict. Now, to open a digital ruble account, you must enter into an agreement with the Bank of Russia. This is a separate type of bank account. You can pay with digital rubles by transferring them on the Central Bank platform. The usual forms of non-cash payments (for example, payment orders, by letter of credit, collection) are not used in this case.
Therefore, today the digital ruble cannot be considered a full-fledged replacement for traditional currency. The working banking group under the leadership of the Central Bank continues to conduct various types of testing. Forcing events in this case would be unnecessary, since a negative user experience could put an end to the prospects of the digital ruble.»
“First of all, the introduction of the procedure for wills and inheritance of rights to the digital ruble eliminates legal uncertainty. This increases its liquidity, and therefore trust in the new system. In addition, the procedure itself seems technically simpler and faster than traditional mechanisms for inheriting financial assets. As for the strategic benefit, a legal basis is being created for the further development of the digital economy and the attraction of new investments.”
“These legislative changes are extremely timely. It is even surprising that they were adopted so quickly — usually the legal sphere in Russia is late in responding to the challenges facing the country, the economy and the financial sector. Despite the fact that the digital ruble is a new concept that is not yet entirely familiar to our citizens, introducing it now into the estate (the set of property, rights and obligations that pass from a deceased person to his heirs after his death) will be the most correct step. I am sure that in a few years the digital ruble will become widespread, which means that Russians should be able to pass it on by inheritance, like any other property.”“I don’t think that the demand of citizens for such testamentary dispositions will increase significantly due to the possibility of registration in digital rubles that has opened on August 1. The instrument is comparable to a classic will, but, unlike it, the document can only include funds in deposits, accounts and cards of a specific financial institution. That is, by definition we are talking about a much narrower format. It would be advisable to include in the order additional conditions for the issuance of funds, for example, upon reaching a certain age.”
“This measure is actually ahead of the curve. The digital ruble has not yet been fully operational in the country, but now it will be possible to take care of the inheritance associated with it. This indicates the government’s increased attention to the topic of the digital ruble and the importance of this segment for the economy. In this way, it is possible to attract the interest of the population, give them the opportunity to use the digital ruble, without postponing the innovation for later. At the same time, in order for citizens to become more accustomed to the digital ruble, a whole set of measures is needed to increase the level of general financial literacy, which still remains, to put it mildly, unsatisfactory.