Russia’s central bank digital currency, or CBDC, could contain a number of risks related to cybersecurity and fraud, according to several local financial institutions.
The Association of Russian Banks, or ARB, has released its official feedback on Russia’s digital ruble project on Jan. 13.
The study included 17 ABR credit institutions in Russia accounting for 58% of the total assets of the domestic banking system. According to the report, the majority of ARB members believe that risks associated with the digital ruble are similar to those of cashless transactions powered by banking accounts and cards, as well as cryptocurrencies.
The ARB specifically outlined the risks related to cybersecurity, warning that online settlements are often vulnerable to attacks like unauthorized access to customer accounts as well as client data and operations. There are risks of identity theft or digital ruble theft through hacking a personal account or identification errors, the association noted.
According to the ARB, these cybersecurity risks are associated