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Writer's pictureCA Yashwanth

Digital Rupee : Launching on December 1st


Here is everything you need to know about India's digital rupee.


1. The Digital Rupee (eRs-R) would be in the form of a digital token that represents legal tender.


2. It would be issued in the same denominations that paper currency and coins are currently issued. 


3. It would be distributed through intermediaries ie. banks.


4. Eight banks have been identified for phase-wise participation in this pilot.


5. The first phase will begin with four banks, namely State Bank of India, ICICI Bank, Yes Bank and IDFC First Bank in four cities across the country.








6. The pilot would initially cover four cities, namely, Mumbai, New Delhi, Bengaluru and Bhubaneswar.


7. Users will be able to transact with eRs-R through a digital wallet offered by the participating banks and stored on mobile phones/devices.


8. When you have money in your bank account, it usually attracts interest. When it comes to the eRs-R , it won’t earn any interest and its value of it will remain constant.


9. Transactions can be both person-to-person (P2P) and person-to-merchant (P2M). Payments to merchants can be made using quick response (QR) codes displayed at merchant locations.


10. The main advantage over crypto currency is that eRs-R is issued and controlled by RBI.




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