Fintech company MobiKwik has announced that it has become the first fintech firm in India to introduce a full-scale Central Bank Digital Currency (CBDC) wallet. The e-rupee (e₹) wallet has been launched in collaboration with the Reserve Bank of India (RBI) and Yes Bank.
How the e-Rupee Wallet Works
According to MobiKwik, the e-rupee wallet allows users to send money to other e-rupee wallets and regular bank accounts through the Unified Payments Interface (UPI). The wallet supports both peer-to-peer (P2P) and peer-to-merchant (P2M) transactions. This means users can make payments to merchants or transfer money to friends and family easily.
One of the key features of the e-rupee wallet is its compatibility with UPI QR codes. Users can simply scan any UPI QR code and pay using their e-rupee balance. The transaction limit for the e-rupee wallet has been set at ₹50,000 for now.
MobiKwik’s Vision for Digital Payments
MobiKwik’s co-founder and Managing Director, Bipin Preet Singh, expressed optimism about the future of digital payments in India. He stated, “We believe that CBDC will help make the Indian rupee completely digital and boost the digital economy. With the e₹ wallet, users can send money to anyone with an e₹ wallet or a UPI ID. Our aim is to encourage the adoption of e₹ in India and reduce the use of cash.”
User Access and KYC Requirements
MobiKwik has made it easy for its existing users to start using the e-rupee wallet. Those who have already completed full Know Your Customer (KYC) verification can open an e-rupee wallet instantly and load money into it from their bank accounts. However, new users will need to complete a video KYC process before they can use the e-rupee wallet.
CRED Also Enters the e-Rupee Market
MobiKwik’s announcement comes on the same day that fintech unicorn CRED launched its own e-rupee wallet in a beta phase. CRED’s founder, Kunal Shah, shared the news on social media platform X (formerly Twitter), calling the launch a major transformation in how money moves in India. He emphasized that the e-rupee is not just another fintech product but a game-changer in digital transactions, backed by the RBI.
RBI’s Push for CBDC Expansion
The Reserve Bank of India has been working on expanding the accessibility of CBDC. In April last year, the RBI proposed allowing non-bank payment operators to conduct CBDC transactions. Previously, only banks were permitted to handle CBDC transactions.
Currently, 15 banks in India offer CBDC wallets, including major banks such as the State Bank of India (SBI), ICICI Bank, IDFC First Bank, Yes Bank, HDFC Bank, Kotak Mahindra Bank, and Axis Bank.
MobiKwik’s Recent Partnership for Personal Loans
This latest development follows MobiKwik’s recent partnership with Piramal Capital and Housing Finance (Piramal Finance). The collaboration aims to provide personal loans of up to ₹2 lakh to users across India, further strengthening MobiKwik’s position in the digital finance sector.
With the launch of the e-rupee wallet, MobiKwik is taking a significant step toward promoting digital currency adoption in India. As more fintech companies enter the CBDC space, the future of digital payments in the country looks promising.
