2, Feb 2023
Kotak Mahindra Bank Participates in RBI’s Pilot Launch of Digital Rupee (e₹)
Bengaluru, 2nd February 2023: Kotak Mahindra Bank Limited (“KMBL”/“Kotak”) today announced that it has implemented the first phase of the Reserve Bank of India (RBI)’s Digital Rupee (e₹). KMBL is among the eight banks shortlisted by RBI to implement a pilot project for the issuance of Digital Rupee, a legal tender that is similar to banknotes and coins, issued in a digital form by RBI. KMBL today rolled out the Central Bank Digital Currency (CBDC) to a Closed User Group (CUG) of customers, which includes retail consumers and businesses.
Deepak Sharma, President & Chief Digital Officer, of Kotak Mahindra Bank said, “We are delighted to be a part of RBI’s initial pilot of Digital Rupee. CBDC aligns with the RBI’s vision of developing a digitally powered economy, promoting digital transactions, and reducing dependency on cash. At Kotak, it has been our constant endeavor to offer a wider choice of financial products and world-class banking experience to our customers by leveraging our technology infrastructure. Digital Rupee will give a huge fillip to the Government of India’s vision of Digital India and CBDC will act as a change agent for the finance ecosystem in the country.”
KMBL will launch the Digital Rupee pilot in Mumbai, Delhi, and Ahmedabad. Limited KMBL customers will be sent an email/SMS invite to download the Digital Rupee app. The digital rupee wallet operates in a similar fashion as a physical wallet but in a digital form, and will be accessible for download on Android operating system smartphones.
Step-by-step procedure to be on-boarded on the e₹ app:
- The customer opens e₹ app.
- He/she is shown the terms and conditions. Once he/she accepts it, an introduction screen is visible.
- After he/she will click on ‘Next’, the SIM binding process begins.
- Users will be asked to set up an app PIN, enter name and select recoverable wallet type.
- He/she is asked to set up a digital wallet pin and then a wallet address is created.
- The customer will be asked to link a bank account to the wallet.