India’s digital rupee (e-Rupee) will also be accepted in Dubai. Dubai-based crypto exchange ByBit has announced the integration of Central Bank Digital Currency (CBDC) eRupee for its peer-to-peer (P2P) transaction service. ByBit said that it had received requests from Indian merchants for support for e-Rupee. With this digital currency issued by the Reserve Bank of India (RBI), merchants
trading in rupees are confident that the processing of digital transactions will be secure. ByBit’s P2P transactions will allow merchants to accept payments in rupees. This will reduce the risk of cyber criminals targeting their bank accounts. ByBit said, “We are excited to introduce the option of payment in digital rupees for our INR users. This will increase the reliability in every transaction. This is expected to bring a large number of merchants to this platform.” This exchange was started in 2018. ByBit claims to be the second largest crypto exchange in terms of trading volume. It has more than 37 million users. In P2P payments, the seller deposits the payment in the form of cryptocurrency in the exchange’s wallet. After this, the seller sets a sale price for the asset. If the buyer accepts that price, the deal is done on the exchange. After this, the buyer sends the payment directly to the seller’s bank account. In this way the P2P transaction is completed. The seller also confirms to the exchange that he has received the amount, after which the exchange gives the cryptocurrency to the buyer. Arjun Vijay, co-founder of crypto exchange Giottus, said that in 2018, RBI issued a circular and banned crypto exchanges from transacting with banks. After this, crypto exchanges started this P2P system. It is mandatory for all crypto-related firms in the country to register with the Financial Intelligence Unit (FIU). However, it is not clear whether ByBit has done this registration or not. The cryptocurrency segment has grown rapidly in the last few years.