The central bank of India, one of the world’s largest economies, has imposed a new regulation calling for the interoperability of mobile wallets and prepaid cards.
The request is for all permitted prepaid payment instruments (PPIs)-included mobile wallets and closed- and open-loop prepaid cards-to be interoperable by April 2022.
In practice, this means that users with mobile wallets can send payments to various brands of wallets and also use them at any merchant that accepts UPI. It also means that consumers will use their mobile wallets and select prepaid cards to withdraw cash from ATMs.
This could lead to greater adoption and use of digital payments. The opening up acceptance of the wallet may also be an attractive advantage for consumers, as it will give this payment instrument greater utility and value, which could lead some users to make it their primary payment method.
With the world increasingly moving in the direction of digitization and decentralization of banking, and mobile wallets becoming more and more relevant, these types of requirements, such as interoperability, will become more and more prevalent in the world’s financial systems.
Mercury Cash’s White Label, which is a software that allows the creation of a banking entity in approximately 15 days, is fully compatible with the interoperability requirements requested by the central bank of India so that all financial institutions already consolidated, or those that are about to be born, can apply to use Mercury Cash’s technology and comply with the requirements of the financial sector in India, and in the countries that will continue to move in this direction.
Mercury Cash, a leap into the future of decentralized banking.