Home Blockchain India’s Leading Payment Network NPCI Calls for Indian Blockchain Platform – Ledger Insights

India’s Leading Payment Network NPCI Calls for Indian Blockchain Platform – Ledger Insights

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India’s Leading Payment Network NPCI Calls for Indian Blockchain Platform – Ledger Insights

Today, the CEO of the National Payments Corporation of India (NPCI), Dilip Asbe, publicly called for an Indian blockchain platform in an opinion piece in the Indian Express. The NPCI was created by the Reserve Bank of India and commercial banks and operates all of India’s major payment rails, including UPI.

The surprise is that public blockchains seem to be embraced by the NPCI as the Reserve Bank has repeatedly pushed back against cryptocurrencies. This blocked banks to deal with the exchanges for years until the Supreme Court struck it down. As the government plans to legislate, the the central bank still wants prohibited cryptocurrencies.

In the NPCI article, Asbe wrote, “Blockchain models today are either licensed, which suffices for a consortium’s needs, or public like Ethereum, which are unregulated and based on intrinsic standards.” .

“The ideal solution to solve most of the known problems of decentralized technologies lies in the middle path. that’s to say. a national platform operating at L1 (Layer 1) that interconnects blockchains (authorized and public), application providers (decentralized applications – dApps – and legacy), token service providers and data managers ‘infrastructure. Together they can form a reliable and efficient network for India’s digital economy.

The article was co-authored by NPCI Innovation Fellow Ashutosh Dubey. This suggests that if layer 2 blockchains integrate with the national layer 1 network, they will not need to integrate with each other. The Indian Blockchain platform is described as “of the people, for the people, by the people”.

In a post on Linkedin, Dubey laid out a 25-year roadmap, but with a goal of going live in 2025. That’s a big, bold idea. And India has succeeded in a few, like the Aadhar national identity system.

Given the magnitude of the objective, it will require significant collaboration. But they may want to avoid a consortium because it’s no secret that these don’t move fast.

During this time, the Reserve Bank Plans use blockchain and other technologies for the gradual issuance of a central bank digital currency (CBDC) by March 2023.


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