Hi Friends,

Even as I launch this today ( my 80th Birthday ), I realize that there is yet so much to say and do. There is just no time to look back, no time to wonder,"Will anyone read these pages?"

With regards,
Hemen Parekh
27 June 2013

Now as I approach my 90th birthday ( 27 June 2023 ) , I invite you to visit my Digital Avatar ( www.hemenparekh.ai ) – and continue chatting with me , even when I am no more here physically

Thursday 8 April 2021

Mobile Wallets to obsolete Bank Accounts ?

 


 

 

Thank You, Shri Shakti Kant Dasji,

[ Governor, RBI ]


Your initiative will lead to  “ LESS CASH and MORE DIGITAL “ , India

If taken to its “logical conclusion “, it could justify re-naming,

Ø   Reserve Bank of India “ as “ Revolutionary Bank of India “

 

Context :

E Wallet may function as bank account soon   /  HT  /  08 April 2021


Extact :

This follows the Reserve Bank of India’s (RBI’s) decision on Wednesday to make it mandatory for all prepaid instruments (PPIs) such as mobile wallets and prepaid cards to be interoperable.


So far, it was voluntary for PPIs to be interoperable.


Mobile wallets will soon be allowed to transfer and receive funds, in addition to making payments, similar to bank accounts.


The RBI’s decision will let a customer send money from a wallet to a bank account and also from one company’s wallet to another.


Customers will also be able to use mobile wallets at ATMs to withdraw cash and at point-of-sale terminals (card-swiping machines).


Currently, only wallets issued by banks offered a cash withdrawal facility.


“If you put all of the announcements about PPIs together and look at the big picture, you will realise that they will be on a par with banks for most practical purposes,” said Ayan Agarwal, vice-president, Transcorp International a financial services company.


Once all the new regulations related to PPIs are in force, a student will not need a bank account. Parents can transfer money to the mobile wallet, which can be used to withdraw cash at ATMs or to make payments at merchant stores.


With wallets joining RTGS and NEFT payment systems, the student will also be able to use the wallet to pay fees, house rent and other expenses that required making bank transfers so far.

 

“If someone doesn’t want to use a bank account for transfers or swipe cards at a merchant location, they would be able to use their wallet,” said Agarwal.

 

===================================================


This is only a beginning !

 

It is only a matter of 2 / 3 years before this “ interoperability “ reaches that stage which I envisaged 4 years back in my following blog :


Ø   A Matter of Time  ……………………[  03  Jan  2017  ]

 

Extract from this blog :

 

Ø  All bank accounts of a person ( in different banks ) become inter- operable / fungible, through seamless interlinking, using Aadhar / UPI Interface in a Mobile Wallet. No need to " select " a particular bank name

               

Ø   All transactions using a Mobile Wallet, automatically entered in BLOCK- CHAIN database commonly shared by ALL banks

         

  

Ø  Wallet based algorithm will move funds across different bank accounts for best yield, constantly searching for best interest rates offered by banks on Fixed Deposits

  

This will happen automatically, much like algorithm-based share trading, taking advantage of price differences in two bourses located 300 km apart ( in one thousandths of a second ! )

          

No rocket science here considering availability of " BEST PRICE " apps for thousands of goods and services

 

And since computing power of mobiles are doubling every 18 months ( Moore's Law ), nothing will stop algo-trading through a Mobile Wallet  as well ( Demat A/C on Wallet ? )

        

Ø  Of course , future Mobile Wallets will subsume within itself , ALL AUTOMATIC PAYMENT APPS , using which ( individually ), currently I make following digital payments :

 

   #    Property Taxes / Locker Fees / Housing Society Charges / MTNL bill

 

   #    Mahanagar Gas / Tata Power / YOU broadband / Vodafone / TATA Sky TV etc

 

 

I expect , a future Mobile Wallet to take care of ALL my periodic duesautomatically

 

 

With regards,

Hemen Parekh  /  hcp@RecruitGuru.com  /  09 April  2021

=============================================

Added on 15 April 2021 :


India cannot ignore the promise of big Blockchain innovations   "


Extract :

 In this world, Wall Street’s capabilities will be available to everyone, according to Balaji Srinivasan, an angel investor who was once chief technology officer at Coinbase Global, the largest US crypto exchange about to go public.


 “We could turn every phone into not just a bank account but a bona fide Bloomberg Terminal," 


he writes on his blog.


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