– The electronic version of the Indian rupee will be called a digital rupee. It will be known as e₹-R.– The RBI would issue e₹-R as a digital token that would be accepted as payment.– In the same denominations that it presently issues paper currency in the form of coins and notes, the central bank will also issue e₹-R.
Digital Rupee(₹)
– Like actual currency, banks will print and distribute digital rupee.– Through a digital wallet provided by partner banks, a user will be able to complete a transaction using e₹-R.– Both person-to-person (P2P) and person-to-merchant (P2M) e₹-R transactions are allowed by the RBI.– Additionally, users will be able to utilise e₹-R to pay businesses using QR codes.
How will digital rupee work?
Will it be safe to use digital rupee?
– The e₹-R would offer the same degree of trust, safety, and settlement finality as a physical currency note or coin.– The pilot is intended to evaluate the stability of the entire process of creating, distributing, and using digital rupees at retail locations in real-time, according to earlier statements from the central bank.– Future pilots will test a variety of e₹-R token and architecture to test in future pilots