Fintech innovator CRED has taken a significant step in digital finance by launching the beta version of its e₹ wallet.
Developed in partnership with the Reserve Bank of India (RBI) and with YES BANK as the sponsor bank, this marks the first instance of a fintech platform integrating the Central Bank Digital Currency (CBDC) in India.
The e₹ wallet brings together the trust of a sovereign digital currency and CRED’s seamless payment ecosystem. Initially available to select users through a beta program, the wallet enables transactions with UPI-linked bank accounts and peer-to-peer transfers between other CBDC wallets.
To activate the e₹ wallet, users must first complete a video KYC process. Once verified, they can load their wallets via UPI and begin transacting. The wallet supports individual transfers of up to ₹10,000, with a daily limit capped at ₹50,000 and a total wallet balance of ₹1 lakh.
One of the key advantages for merchants is that transactions through the e₹ wallet incur zero fees, making it a cost-effective payment solution. Looking ahead, CRED plans to introduce features such as programmable merchant payments, integration with CRED Pay, and PIN-less transactions for amounts under ₹500.
Kunal Shah, founder of CRED, described the e₹ wallet as a crucial development in India’s financial transformation. He emphasized that the initiative, supported by the RBI, aims to drive CBDC adoption among India’s most creditworthy individuals and simplify digital currency transactions.
This launch aligns with the RBI’s broader strategy of reducing cash dependency, fostering financial inclusion, and strengthening India’s leadership in digital payments. As part of its monetary policy in April 2024, the RBI highlighted its commitment to expanding CBDC-Retail accessibility and allowing non-bank payment providers to offer CBDC wallets.
YES BANK, serving as the sponsor bank, plays a pivotal role in facilitating the issuance of digital currency tokens from the RBI to CRED, ensuring a secure and regulated transaction environment.
With full-scale access for all CRED users anticipated in the near future, this initiative is set to accelerate the adoption of India’s digital rupee and reshape the country’s fintech landscape