Banks traded ₹275 crore of gilts in the secondary market via the digital or e-rupee on the first day of the launch of the CBDC (central bank digital currency).

Three bonds were traded a total of 48 times on Tuesday via CBDC. Herein, the 7.38, 2027 bond was traded 24 times, the 6.54, 2032 bond was traded once, and the 7.26, 2032 bond was traded 23 times, as per data by the Clearing Corporation of India.

The Reserve Bank of India launched the pilot for its digital rupee — wholesale segment on Tuesday, beginning with the use of digital rupee for settlement of secondary transactions in government securities.

The central bank has identified nine banks for participation in the pilot — 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.

All of these banks participated in the trade of government bonds via the digital rupee on Tuesday, according to dealers.

ICICI Bank executed the first transaction, selling the 2027 bond to IDFC First Bank, sources said.. IDFC First Bank too confirmed that it executed the first deal via CBDC, without giving further details.

“IDFC First Bank executed the first secondary market transaction in government securities using CBDC settlement today. This was executed with another bank as the counterparty,” the lender said.

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