Belarus Central Bank Plans to Launch Blockchain-Powered CBDC
Minsk is taking steps to address Belarus’ sanctions issues by revealing plans to launch a blockchain-based Central Bank Digital Currency (CBDC). The National Bank of Belarus (NBB) has confirmed its intention to utilize smart contract technology for the digital Belarusian ruble.
The NBB has already disclosed its intention to build the CBDC on the Hyperledger Fabric blockchain protocol. The digital currency will offer several advantages, including a high level of safety for the general public. Additionally, it aims to classify settlements using the digital Belarusian ruble as non-cash transactions.
The Belarusian state sees the CBDC as a way to expand possibilities for integrating the national payment system with the systems of partner countries. Minsk’s closest allies, Moscow and Astana, are also expediting their own plans for CBDC. Both Russia and Belarus have expressed interest in using CBDC-powered trade within the CIS, envisioning a network of interoperable CBDCs to facilitate trade without relying on banking networks like SWIFT or currencies like the US dollar.
Furthermore, the NBB believes that businesses and commercial banks would also benefit significantly from the launch of the CBDC, as it would lower the barrier of entry for new market participants. It emphasized that using smart contracts would be key to achieving this goal.
In light of these developments, it is clear that Belarus is eyeing blockchain technology and digital currencies as a means to address its economic challenges. The successful implementation of a blockchain-powered CBDC could provide a much-needed tonic for Belarus’ sanctions woes.
