Russian Banks ‘Fighting Back’ Against Digital Ruble – Report

cryptonews.com:

Russian banks are reportedly “fighting back” against the digital ruble amid claims a CBDC launch would cost them $684 million a year.

Per a report from Comnews, even the Central Bank’s commercial bank partners are “looking for ways” to “avoid” dealing with the coin and “preserve” the banking status quo.

The report pointed to a development from VTB Bank, which this month announced a new solution that lets CBDC owners convert their tokens to cash at ATMs.

The solution will initially allow digital ruble holders to swap their coins for cash at some 14,000 VTB ATMs nationwide.

But if other banks follow suit, citizens could potentially use the function at all Russian ATMs in the very near future.

The media outlet called the development a “commercial bank vaccine” against the digital ruble.

Many believe commercial bankers are afraid the CBDC will allow the Central Bank to eat into their business.

The outlet wrote:

“The [VTB ATM solution] goes against the policy of the Central Bank, which is trying to actively introduce the new [digital] currency to the public.”

“It is not profitable for banks to work with the digital ruble, since it is completely controlled by the Central Bank. […] The [VTB] solution wrests [the CBDC] from the control of the Central Bank and [will] return liquidity to the country’s banking system.”

Publicly, however, VTB and other banks have applauded the Central Bank’s CBDC plans, calling for the “rapid expansion” of the digital ruble project.

Media outlets have previously made similar allegations about commercial banks’ reluctance to engage with the CBDC.

The eleventh-hour exit of Tinkoff Bank and Sberbank from stage one of the pilot drove some to question banks’ digital RUB commitment.

But Sberbank has since committed