CBDC more anonymous than traditional e-transactions: IDFC First Bank CEO

In CBDC, the core banking will have a one-time debit for currency purchase, but all subsequent transactions, which move from wallet to wallet

IDFC First Bank is one of the four banks that will participate in the first phase of the retail pilot on central bank digital currency (CBDC), which will start on December 1. V Vaidyanathan, MD & CEO, of IDFC First Bank, explains the advantage of CBDC retail and the difference between other digital payments in an interview to Manojit Saha. Excerpts:

How does the digital rupee work for the retail segment? 

The distribution model for digital currency is identical to the arrangement for paper currency — the bank indents digital currency from the central bank, and the customer in turn