India’s central bank, the Reserve Bank of India (RBI) will launch its pilot project in the digital rupee from today. This will be first in the wholesale segment.
“The use case for this pilot is settlement of secondary market transactions in government securities. Use of e₹-W is expected to make the inter-bank market more efficient. Settlement in central bank money would reduce transaction costs by pre- empting the need for settlement guarantee infrastructure or for collateral to mitigate settlement risk,” an RBI circular said.
