Examining Awareness and Perceived Benefits of Digital Currency: An Empirical Study with Reference to Banking Employees in Bangalore

This study explores the evolving role of digital currencies in India’s financial landscape by examining the awareness and perceived benefits among banking employees in Bangalore. With the Reserve Bank of India launching the Digital Rupee and digital payment platforms like UPI becoming ubiquitous, banking professionals are pivotal in driving digital transformation. Employing a quantitative approach, the research uses Structural Equation Modelling (SEM) to analyse four key constructs: Awareness (AW), Perceived Benefits (PB), Organizational Support (OS), and Intention to Use (IU). Data collected from 208 banking employees revealed a strong positive correlation between Awareness and Perceived Benefits (β = 0.517, p < 0.005), and between Perceived Benefits and Organizational Support (β = 0.534, p < 0.005), with Organizational Support significantly enhancing the Intention to Use digital currency (β = 0.640, p < 0.005). Additionally, Autonomy and Well-being emerged as a critical driver influencing the entire pathway (AW → PB → OS → IU). Rigorous testing confirmed construct reliability and convergent validity using Cronbach’s alpha and AVE measures. The findings underscore the importance of fostering digital literacy among banking staff, informing employee training programs, and guiding policy frameworks for regulators like the RBI. Ultimately, the study advocates for a multi-stakeholder strategy to build a secure, inclusive, and efficient digital currency ecosystem in India.