New Delhi: Currently, it is not possible to exchange Central Bank Digital Currency (CBDC), also known as eRupee, for cash. Only bank deposits will be used by the Reserve Bank of India (RBI) to issue eRupee. It will enable the conversion of virtual money into real money.
Anuj Ranjan, top general manager of RBI’s fintech division, reportedly said that the pilot project has progressed very well in a closed-user group and the number of users is gradually increasing while speaking at an event at the Chamber of Indian Merchants . Ranjan said that since the e-rupee is a liability of the RBI, the central bank will be responsible for its cost. ,ALSO READ: Here are 10 reasons why RBI warned states against reinstating old pension scheme (OPS),
Thanks to lenders like Yes Bank, the digital wallet is now available for download on the Apple App Store and Google Play Store. Several businesses including Reliance Retail, natural ice cream and oil marketing firms have registered to accept payments in eRupee. ,ALSO READ: I’m on visa, have limited time: Sacked Indian-origin Microsoft employee,
A central bank issues currency notes in digital form as eRupee. According to the RBI, the reasons for each country to issue a CBDC are different. ER, also known as digital rupee, will be accepted as legal cash and will come in the same denominations as coins and paper money. It will be delivered through intermediaries like banks.
Users will transact using a digital wallet that they can save on their mobile phones and other devices. Transactions will be possible between individuals and between individuals and merchants, and QR codes can also be used to make payments to retailers.
Four banks- State Bank of India, ICICI Bank, Yes Bank and IDFC First Bank formed the first phase of the trial. The pilot was initially launched in Mumbai, New Delhi, Bengaluru and Bhubaneswar.