Will sanctions force Russia to create a CBDC of its own?

[FairUser]

I think it is entirely possible that as the sanctions of the West and the US against Russia are increasing, the solutions they are taking in response, such as the doubling of the basic interest rate by the banks and the use of CBDC to bypass the US-led payment system, are also possible given the current circumstances.

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[inthelongrun]

They might consider it but not that necessary, at least for now. Russian ruble actually recovered well since it dropped heavily after starting to invade the whole of Ukraine. Thanks to Russian gas and oil which Putin took advantage by demanding transactions to be paid with ruble. Many countries are not keen on the Russian trade embargo too just like economic giants China and India. Even Europe's largest economy which is Germany said it will be free from Russian gas by 2030. I think Europe and even the US are also secretly buying ruble when Russia mentioned it will sell its oil and gas with huge discounts.  

[noorman0]

CBDC is a close possibility, but the reason I don't think is sanctions. I don't know if the two countries will reconcile someday, but if the policy of using the ruble to import gas from Russia is profitable, then the policy could last longer (or forever) and expand to other trades as well.

They might consider it but not that necessary, at least for now. Russian ruble actually recovered well since it dropped heavily after starting to invade the whole of Ukraine. Thanks to Russian gas and oil which Putin took advantage by demanding transactions to be paid with ruble.

Currently the Ruble is pegged to gold to maintain its value stability, with a value of 5000 rub = 1 gram of gold

With Russian gold coming under sanctions, the country's gold stocks -- from banks as well as individuals could be sold to the central bank. The value of the ruble will further increase once the central bank's gold stocks from domestic sources increase, which is expected to happen in the next few months.

[el kaka22]

Everyone wants to assume that Russia would find a way to make crypto a very highly integrated part of their world but everyone forgets that they want to make Ruble strong instead. I get that you want to see crypto, but the reality is that they only use it to bypass sanctions and nothing else.

When you look at the governmental part, we need to make sure that there is absolutely no reason for them to do something like this, they "could", but they won't and that matters a lot. Just focus on the fact that you could even ban bitcoin, and make sure that everyone uses ruble. What they need is not bitcoin, what they need is very strong ruble and they will focus on that.

[fiulpro]

There are few things that we can keep in mind while thinking of Russia and them keeping the whole world at bay :
1. They are going to face long term consequences with no help from any other country even the countries like India, they are actually not in their favour they just choose not to speak against them because of their long term relationship thus they are quite cornered at the moment.
2. They are backing rubble up with gold which means the value is rising again and they are also thinking of asking other countries to pay in rubles for the gas which is working to an extent
3. They are cutting down imports and exports now which means they might have to set their economy aside and maintain their own system.
4. EU is extending sanctions on BTC as well meaning they might need another option which would be CBDC'S ofc and at the same time we can see them evolving a bit like China and North Korea if this madness doesn't stop therefore I do think they are definitely going to launch it.
They will definitely isolate their economy and do every possible thing.

[tabas]

They can do that but I don't think that they will. Although they've got a new rule that it's going to be Rubles that shall be used to pay for their commodities needed by other countries.
I guess that's already good enough for them not to make their own CBDC. But as they have already been aware about the potential of having their own crypto through CBDC, who knows what's on it for tomorrow.

Let's just wait and see then since we don't know yet what was Putin's been thinking on how to make their country survive from the western sanction. And I think forcing other countries to pay in Rubles instead of USD to sustain their economy. We don't know yet if creating CBDC is in their option but maybe they would choose the latter. Since they were selling commodities in exchange for Rubles I think there's a long term effect about that.

Yes, there's nothing we can do but to wait if they'll also going to make their own CBDC. Now with those sanctions, this has made them to put their own condition for their products.
What a style and instead of going down, they went down temporarily but now they're setting the rules and I think that this is going to make sense until they've finally recovered.

[Abiky]

They could if they wanted, but there isn't an incentive for anyone to adopt a ruble based CBDC. If they want to create a system that is more immune to sanctions, would seem a whole lot easier just for people to adopt Bitcoin instead. Perhaps I'm being shortsighted - if the ruble is increasingly becoming worthless, digitalizing the currency serves no purpose. It's not as if ruble is a reserve currency. CBDC's just give more central authority to the major banks. Problem with the current sanctions is that their economy and assets are being frozen, a CBDC won't fix any of this.

You do have a point there, mate. But what if Russia decides to create a CBDC backed by Bitcoin itself? The new digital currency can work as a sort of sidechain that would gain all of the security of the main Bitcoin blockchain. If the Russian government takes this route, I doubt sanctions will be able to affect its economy whatsoever. Besides, Russia still has allies supporting it.

Most of the world's countries may have rejected Russia, but there's still a small minority that are willing to support it every step of the way. No one knows what's in Putin's mind right now, so the only thing we can do is hope for the best. Who knows what will be of Russia's economic system in the not-so-distant future? Just my opinion

[sana54210]

But what if Russia decides to create a CBDC backed by Bitcoin itself? The new digital currency can work as a sort of sidechain that would gain all of the security of the main Bitcoin blockchain. If the Russian government takes this route, I doubt sanctions will be able to affect its economy whatsoever. Besides, Russia still has allies supporting it.

Most of the world's countries may have rejected Russia, but there's still a small minority that are willing to support it every step of the way. No one knows what's in Putin's mind right now, so the only thing we can do is hope for the best. Who knows what will be of Russia's economic system in the not-so-distant future? Just my opinion

I do not think that they really need it to be even backed by bitcoin. Just have a situation where you could have a bitcoin reserves, I mean this is a financially huge nation and they could buy billions of dollars worth of bitcoin from the taxes and foreign money they keep getting.

This means that while we all buy bitcoin, we are making Russia more powerful, each time people buy and increase the price of bitcoin, they make Russia more powerful. This could work very well for them, they could have hundreds of billions of dollars worth bitcoin they wanted to, and it wouldn't even be like impossible for them, not easy to get that much, but not impossible.

[poldanmig]

Yes, there's nothing we can do but to wait if they'll also going to make their own CBDC. Now with those sanctions, this has made them to put their own condition for their products.
What a style and instead of going down, they went down temporarily but now they're setting the rules and I think that this is going to make sense until they've finally recovered.

Possibility russia of creating a CBDC will be very large in my opinion for them to fight the existing sanctions, some time ago there were even rumors that if America had banned the use of dollars in every transaction made by Russia and even the chairman of the Russian energy committee had stated that Russia was open. to accept different currencies for all types of exports that they do including using bitcoin, so from this statement they can will create a CBDC to facilitate every transaction with friendly countries.

[Furious 7]

This could be an option for them, considering that the sanctions imposed by various parties will of course make it difficult for them to manage their country's finances and again, the current ruble is still frozen in several countries, including the country I live in now.
CBDC can be an option now because they don't want to face inflation at a time like this.
on the other hand now I read some news Gold is still the main thing juxtaposed with the ruble now

[Zilon]

Russians has resources that will sustain them all through the sanction but to save their currency devaluation in the foreign exchange market resolving to digital Ruble will wane off any possible effect of the sanction. Currently there are different payment gate way outside the usual messaging platforms although they could be slow and some might refuse to work with Russia because of the sanction so test running a digital coin for Russia is a necessity

[Pejoh Asu]

I'm sure the study and analysis of the bad things from the invasion of Ukraine has been carried out by Russia for a long time, and when they received economic sanctions and the negative impact of the invasion, it made me believe that it would not have a big impact on the Russian economy, especially since they are directly adjacent to China which will always support Russian policy.