Digital Rupee First Day of Launch 275 Crore in 48 Transactions: Nine banks are involved in the CBDC’s pilot project. Many of these banks have done 48 transactions involving government bonds, valued at around Rs 275 crore, using the digital virtual currency on the very first day of launch.
RBI’s digital currency allow wholesale segment of government securities
RBI’s digital currency has started well. It was launched on 1 November. Explain that under the pilot project of CBDC, banks have been allowed to use it for transactions in government securities i.e. only wholesale segment of government securities. In RBI’s digital currency experimental pilot total Nine banks are involved in this pilot project. Many of these banks have done 48 transactions involving government bonds worth about Rs 275 crore using digital virtual currency on the very first day of launch.
Digital Rupee First Day of Launch 275 Crore in 48 Transactions
According to information released by the Clearing Corporation of India (CCIL), the CBDC was used to settle 48 different trades. A weighted average yield of 7.33% was achieved on 24 trades of 7.38% securities due in 2027 and 7.41% on 23 trades of 7.26% securities maturing in 2032. A trade was made on a 2032-maturing, 6.54%-rated instrument with a 7.45% yield.
Read More: Digital currency launched in India for wholesale and retail sectors: RBI
Nine banks take part in the pilot project Digtal Rupee
Nine banks were chosen to take part in the pilot project in this segment: State Bank of India, Bank of Baroda, Union Bank of India, HDFC Bank, ICICI Bank, Kotak Mahindra Bank, Yes Bank, IDFC First Bank, and HSBC. According to a dealer, the RBI established a brand-new platform called the “Negotiated Dealing System-Order Matching (NDS-OM) CBDC” for these banks to use in order to carry out the transactions in which they engaged in the purchase and sale of government securities among themselves.
CBDC digital rupee account each bank has established with the RBI,
“Before the transaction is carried out, banks request from the RBI that the cash in the Cash Reserve Ratio (CRR) account be converted into digital rupees. Then money is deposited in the CBDC digital rupee account each bank has established with the RBI, according to the head of treasury at a private sector bank.
Check also: RBI will start its own digital rupee from today, no need to keep cash!
RBI has currently approved CBDC as a pilot project. In the future, it will be carried forward in several phases and during this time everyone will be allowed to use it by removing the flaws. The nine banks that have been initially permitted to participate in the pilot project of CBDC are State Bank of India, Bank of Baroda, Union Bank of India, HDFC Bank, ICICI Bank, Kotak Mahindra Bank, Yes Bank, IDFC First Bank and HSBC. Involved. Banks are included.
First trial in the digital rupee-retail segment
The Reserve Bank of India (RBI) also revealed that the first trial in the digital rupee-retail segment is expected within a month in select areas with closed user groups made up of consumers and business owners.