State Bank of India (SBI) has introduced UPI interoperability in its Digital Rupee (e rupee), also known as the Central Bank Digital Currency (CBDC).
The move connects CBDC with the UPI platform, potentially changing the payments landscape in India.
This feature is accessible through the ‘e rupee by SBI’ application and allows SBI CBDC users to scan merchant UPI QR codes for transactions.
When accepting payments via UPI or digital wallet, shops will be able to display only one QR code. It will make it easier to use the Digital Rupee in daily transactions
SBI was among the first few banks to participate in the RBI's retail digital e-rupee project in December 2022.
HDFC Bank was the first bank in India to make interoperable QR codes available to its merchants and consumers, followed by Canara Bank, Axis Bank and Yes Bank.
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How to register/sign up for e₹ for the first-time users?
Below are the simple steps to follow to install the app and register for CBDC (e₹):
- Download the e₹ (Digital Rupee) app from the Google Play Store.
- Once the app is downloaded, Pop up will be displayed for SMS and phone call permission to send SMS and phone call
- Terms and condition page will be displayed. Read and if acceptable, click on accept to continue.
- Click on start registration.
- Installed SIM Cards will be displayed. Select the SIM Card with registered mobile number (with the Bank) and click on verify SIM. This will allow your device to send a SMS to our system to complete SIM verification. After verification click on continue.
- Click on Set App PIN and authenticate with your device password (PIN, Face Unlock or Fingerprint)
- Enter your name in the field provided and click on Choose Wallet
- Enter your PIN in first input field. Confirm your PIN in the second input field. Click on the “tick” button on number pad to proceed.
- “Wallet Successfully created” screen will be displayed. Click on View Wallet Address.
- Click on Select Wallet. “Link State Bank of India Account” will be selected. Click on continue (This will allow app to fetch existing State Bank of India Accounts linked to the registered mobile number).
- List of your connected State Bank of India Account will be shown, select the account you would like to connect with the wallet and click on select this bank account. You can create one wallet with one bank.
- Enter Card Details screen will be displayed. Enter last 6 digits and the expiry of your debit card. After this next button will be displayed, click on it to continue.
- Bank Accounts linked successfully message will appear. Sign up/registration is complete
- Now, you can start using e₹ (Digital Rupee app)
What is a central bank digital currency (CBDC)
“Digital Rupee” or “e₹” is a legal tender, similar to sovereign paper currency, and is issued in digital form by the Reserve Bank of India. e₹ will offer features of physical cash like trust, safety and settlement finality with atomicity (i.e. immediate settlement of transactions) in digital mode. e₹ represents a direct claim on the central bank. It can be used to carry out transactions or store value digitally, similar to the manner in which currency notes can be used in physical form.
What is Digital Rupee wallet? / Where can Digital Rupee be held?
e₹ can be held in an e₹ wallet issued by banks. This wallet can be linked to your existing Bank (savings / current) account. The wallet is a digital representation of your physical wallet and e₹ can be withdrawn/ deposited from your existing bank account into this wallet.
Will e₹ replace cash, debit cards and credit cards?
No. Reserve Bank of India in its concept note states that e₹ is aimed to complement and create an alternate to physical currency and not replace current forms of money. It is envisaged to provide additional avenue of handling money to users.
How e₹ is different from UPI or other fund transfer mode (NEFT/RTGS/IMPS)?
e₹ is a form of money, a digital representation of physical currency, whereas UPI or other fund transfer modes are forms of payment. Therefore, usage of e₹ is not limited to payments. e₹ also serves the purpose of ‘unit of account’ and importantly, ‘store of value’ as it represents a claim on the Reserve Bank’s balance sheet. Moreover, e₹ will have additional attributes specific to currency which will be tested in future pilots.
Is e₹ same as cryptocurrency such as bitcoin?
No. e₹ is digital form of currency notes and has intrinsic value as it represents a claim on the Reserve Bank’s balance sheet. e₹ is issued by the Reserve Bank and is a legal tender. Crypto products such as bitcoin on the other hand do not exhibit any features of a currency, do not have any intrinsic value, are not backed by assets and are not issued by a central trusted authority, such as RBI.
Who can use e₹?
In the first pilot of central bank digital currency – Retail (Digital Rupee - e₹), few customers have been selected to be a part of the Closed User Group (CUG) in few locations. We will add more customers as and when we receive the intimation from the RBI.
How can e₹ be used?
You can transact in e₹ through a convenient and safe digital wallet being offered by State Bank of India. This e₹ wallet will be like your physical wallet in digital form, on your android device. e₹ can be used to make payments to merchants and individuals, who are also included in the group, by using your e₹ wallet. Payments to merchants can be made through a unique QR code displayed for this purpose at respective locations.
What is an e₹ Wallet?
An e₹ wallet is a digital wallet in your android device which will store your digital currency like the physical wallet stores physical currency. It may be mentioned that if you lose your physical wallet, retrieving the same is very difficult, however, in case of digital rupee wallet, the money is safe even if the device on which the wallet is saved, is lost as the same can be retrieved by creating the wallet protected by PIN.
How can I load money in my e₹ wallet?
On the home page of the app, click ‘Load’
Enter the amount or select denominations by swiping up for the amount you want to add. Click on ‘Load digital Rupee’.
You can choose any of the below modes to add digital rupee to your wallet and follow the on-screen instructions.
o Transferring funds from your linked State Bank of India account
o Transferring funds through different UPI apps
After successful PIN verification, linked account will be debited and e₹ (Digital Rupee) wallet will be credited in the same denominations instantly.
How to redeem e₹ from wallet and get money back to my linked bank account?
On the home page of the app, click on Redeem.
Select denominations by swiping up for the amount you want to redeem. Click on ‘Redeem digital Rupee’.
Choose the linked bank account to be credited and follow the onscreen instructions.
After successful PIN verification, linked account will be credited with the equivalent amount and e₹ (digital Rupee) wallet will be debited instantly.
How do I send payments using e₹?
On the homepage of the app, click on send
You can send e₹ (Digital Rupee) via Digital Rupee VPA or Phone number of the beneficiary who has registered for the e₹ (Digital Rupee) or Scan e₹ (Digital Rupee) QR code.
Why do I see e₹ with different denominations in the app?
e₹ has fixed denominations akin to the existing physical currency denominations.
How can I transact if I do not have the required denomination or change?
If you have to purchase a ₹ 15 item from a merchant, but you have only ₹20 denomination available in your digital wallet. You can enter the ₹15 in the amount field while sending the money, remaining ₹5 will be stored automatically in your wallet.
Can I buy e₹ (Digital rupee) from my Credit Card?
No, you cannot buy e₹ from your Credit Card. e₹ is a digital representation of the physical currency notes, therefore, you can only withdraw/ deposit e₹ tokens from your existing linked bank account.
Does the transfer of tokens happen only during banking hours?
All transactions are instant and are available 24/7.
Will my transaction show “ Pending” as it sometimes shows in UPI?
You may have to wait till your transaction gets processed (either successful or fails)
While loading, what if account debited but wallet not credited with e₹ (Digital rupee)?
In such cases, money will be refunded back to your account. Sometimes this takes longer than intended. If you do not receive the refund within 48 hours (during pilot phase), please raise a dispute on the e₹ app or contact Customer Care <1800 1234>
Can I transfer e₹ directly to someone else’s bank account or UPI VPA?
No. e₹ can only be transferred to e₹ (Digital Rupee) wallet. However, you can redeem e₹ from the e₹ wallet to your linked bank account.
Are there any charges/fees on using e₹?
No. There is no charges/fees associated with e₹ or e₹ wallets.
Is there any minimum balance required to open/ maintain e₹ wallet?
No. There is no minimum balance required to open/ maintain e₹ wallet.
What if I lose/change my phone?
You can recover your wallet by using the same phone number/sim on State Bank of India e₹ (Digital rupee) wallet.
Is e₹ Secure and Private?
Yes, e₹ is safe and secure. There is a robust cyber-security framework to ensure that e₹ is kept secure.
What if I lose/change my phone?
You can recover your wallet by using the same phone number/sim on State Bank of India e₹ (Digital rupee) wallet.
Is e₹ Secure and Private?
Yes, e₹ is safe and secure. There is a robust cyber-security framework to ensure that e₹ is kept secure.
Will I be paid interest on my e₹ wallet?
No, as it is Digital form of currency note, there is no interest paid on digital currency in your e₹ wallet.
Why I have not received invite to participate in the first pilot of Central Bank Digital Currency - (Digital Rupee - e₹)
As it is the first pilot launched by the Reserve Bank, State Bank of India has rolled out invites to few customers only as of now. Invitees would have received by SMS or email from State Bank of India on their registered mobile nos. and email ids.
How to de-register/delete e₹ wallet?
To de-register the e₹ wallet, first redeem the Digital Rupee to your linked bank account.
Click on Profile icon on top left corner of the home screen.
Select De-register option in the menu
Prompt will be shown about wallet being deleted, click on continue.
Authenticate with your wallet PIN and wallet will be de-registered.
How to reset Wallet PIN?
Click on settings in the e₹ app/
Go to PIN settings
Click on Forgot PIN
Enter last 6 digits of State Bank of India debit card and the expiry date
What if user enter wrong Wallet PIN during a transaction?
In case you input the wrong PIN more than 3 times as day, then the transaction on e₹ app will be temporarily blocked. Customers need to reset the Wallet PIN or wait for 24 hours to unlock
Whom I can reach out for support/disputes?
You can raise disputes via e₹ wallet or you can reach out to our customer care 1800 1234 for further enquiries.
Can I use this for investment? Will the value of e₹ appreciate/grow?
No. The value of e₹ is equivalent a physical currency. There is no interest paid on e₹.
How many wallets customer can hold?
Only one e₹ wallet can be held in a particular bank against the registered mobile number.
Can a non- State Bank of India customer use e₹ (Digital rupee)?
Non- State Bank of India customers cannot use State Bank of India e₹ (Digital rupee) app in pilot, as they are not invited by State Bank of India for e₹ (Digital rupee) Pilot. However, they may use their own bank Digital rupee wallet to transact with e₹ (Digital rupee), if they are invited for pilot by their respective bank.
Is Savings account mandatory for customers to use e₹ (Digital rupee)?
During this pilot, savings account is mandatory for customers and current account is mandatory for merchants to use e₹ (Digital rupee) in the pilot.
Do I have to maintain a minimum balance of e₹ (Digital rupee) in my wallet?
No.
Can I save my taxes by investing in these tokens?
No. “Digital Rupee” or “e₹” is a legal tender, similar to sovereign paper currency.
No, as it is Digital form of currency note, there is no interest paid on digital currency in your e₹ wallet.
How to de-register/delete e₹ wallet?
To de-register the e₹ wallet, first redeem the Digital Rupee to your linked bank account.
Click on Profile icon on top left corner of the home screen.
Select De-register option in the menu
Prompt will be shown about wallet being deleted, click on continue.
Authenticate with your wallet PIN and wallet will be de-registered.
How to reset Wallet PIN?
Click on settings in the e₹ app/
Go to PIN settings
Click on Forgot PIN
Enter last 6 digits of State Bank of India debit card and the expiry date
What if user enter wrong Wallet PIN during a transaction?
In case you input the wrong PIN more than 3 times as day, then the transaction on e₹ app will be temporarily blocked. Customers need to reset the Wallet PIN or wait for 24 hours to unlock
Whom I can reach out for support/disputes?
You can raise disputes via e₹ wallet or you can reach out to our customer care 1800 1234 for further enquiries.
Can I use this for investment? Will the value of e₹ appreciate/grow?
No. The value of e₹ is equivalent a physical currency. There is no interest paid on e₹.
How many wallets customer can hold?
Only one e₹ wallet can be held in a particular bank against the registered mobile number.
Can a non- State Bank of India customer use e₹ (Digital rupee)?
Non- State Bank of India customers cannot use State Bank of India e₹ (Digital rupee) app in pilot, as they are not invited by State Bank of India for e₹ (Digital rupee) Pilot. However, they may use their own bank Digital rupee wallet to transact with e₹ (Digital rupee), if they are invited for pilot by their respective bank.
Is Savings account mandatory for customers to use e₹ (Digital rupee)?
During this pilot, savings account is mandatory for customers and current account is mandatory for merchants to use e₹ (Digital rupee) in the pilot.
Do I have to maintain a minimum balance of e₹ (Digital rupee) in my wallet?
No.
Can I save my taxes by investing in these tokens?
No. “Digital Rupee” or “e₹” is a legal tender, similar to sovereign paper currency.