This document discusses electronic money or e-money. It defines e-money as money that exists in banking computer systems and is available for electronic transactions, backed by fiat currency. E-money can be stored on hardware like smart cards or software like online servers. There are three main types of e-money: stored value cards containing prepaid money, software-based e-money where balances are kept online, and virtual currencies not issued by an institution. In India, e-money is regulated by the Reserve Bank of India and guidelines for prepaid payment instruments. E-money is expected to increase cashless transactions.