RBI to test retail version of digital rupee on Thursday, initially with 4 banks in pilot

According to Bloomberg, the Central Bank of India will start trialing a retail version of its digital currency on Thursday with the initial participation of four banks including State Bank of India, ICICI Bank, Yes Bank and IDFC First Bank. Another 4 banks will join at a later stage, and the scope of the pilot may be gradually expanded as needed. The RBI said the e-rupee would provide "the characteristics of physical cash such as trust, security and final settlement," adding that it would not earn any interest and could be converted into other forms of money, including bank deposits. The bank will distribute e-rupees through digital wallets on mobile phones. Both person-to-person transactions and payments to merchants are possible.