Digital Rupee: How has the digital rupee grown 180 times in just two years?

In just two years, the digital rupee has scaled up dramatically, with its retail value surging nearly 180 times to Rs 1,016.5 crore by March 2025 from Rs 5.7 crore in March 2023, RBI data shows.

Launched as a pilot by the Reserve Bank of India in late 2022, the e` has moved beyond experimentation to meaningful adoption. Retail volumes grew from 1,710,000 to 49,410,000 pieces, marking a 29- fold increase in just two years. High-value denominations now dominate usage, with Rs 500 notes alone accounting for 84.4% of total eRs value in FY25, up sharply from 47.5% in FY23, a clear signal that the digital currency is gaining traction among larger retail and merchant payments.

While the wholesale use-case remains limited, the retail adoption supports India’s aim to modernise its payment infrastructure, reduce cash dependency, and provide a regulated alternative to private cryptocurrencies.