The retail e-Rupee operates through a two-tier model. In this model, which entity is responsible for distributing the e-Rupee to end users?

In the two-tier model for the retail e-Rupee: Tier 1 the RBI issues the digital currency to participating commercial banks (analogous to how physical currency notes are issued). Tier 2 the banks distribute the e-Rupee to their customers through purpose-built digital wallets on mobile applications. The RBI does not interface directly with the general public. This preserves existing banking intermediation while introducing CBDC capabilities. NPCI, UIDAI, and state governments are not in the distribution chain for the e-Rupee.