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- Published: December 2, 2022 14:10
New Delhi: There are several questions in the minds of many people since the launch of the digital rupee by the Reserve Bank of India (RBI). The RBI’s digital money or a digital form of cash/paper money was launched in 4 cities on December 1, 2022, on a pilot basis. The name of the cities includes Mumbai, New Delhi, Bengaluru, and Bhubaneswar.
Further, it will be made available in Ahmedabad, Guwahati, Gangtok, Hyderabad, Indore, Kochi, Patna, Lucknow, and Shimla in the second face.
Below here, we have answered a few prime questions related to digital currencies.
What is digital currency?
In simple and crisp language, the newly launched digital currency launched by RBI is the amount of cash/paper. For example, 1 digital rupee has the same value as Rs 1 crash. It is safe and launched by the RBI to counter the rise of cryptocurrency. However, the digital rupee is not similar to the cryptocurrency. The prime reason behind its launch is to eliminate cash from the market gradually.
How to buy digital rupee?
The RBI has launched the digital rupee in partnership with four banks that include ICICI Bank, State Bank of India, Yes Bank, and IDFC First Bank. One can buy the digital Rupee from the official app or website of the four designated banks. However, the facility can be availed in the four designated banks in the above-mentioned cities.
How to use digital currencies?
Notably, the RBI has so far not shared the process to buy digital rupee. When a user will be able to make payments with digital rupees available in the bank wallet using QR codes of merchants and other users. Transaction in digital currency is allowed between person and merchant (P2M) and person to person (P2P).
