Indian Banks Could Start Using Blockchain Technology to Improve Digital Payments
According to the Indian business magazine Business Today, the National Payments Corporation of India (NPCI) could start using blockchain technology to improve digital transactions. India’s banks have been against the development of the crypto industry but they seem ready to implement blockchain technology and improve their services.
Indian Banks Embrace Distributed Ledger Technology
Indian financial institutions could soon start to improve their services with the introduction of blockchain technology. Ten banks, which are operating under the Indian Banks’ Association (IBA), will be working so as to improve the NPCI with the implementation of distributed ledger technology (DLT).
The NPCI performs payments in India and also includes 56 national banks as stakeholders. All of them work with the official support of the Reserve Bank of India (RBI) and the IBA. The Reserve Bank of India is the central bank of the country, which has been very aggressive with bitcoin and its ban on cryptocurrencies.
It is worth mentioning that the NPCI will also focus on improving digital transactions and the services provided to customers.
On the matter, the report reads as follows:
“NPCI intends to develop a resilient, real time and highly scalable blockchain solution. It is proposed to develop this solution using an open source technology/framework/solution.”
Banks have been trying to implement blockchain technology solutions in order to improve their services and products. Ripple is one of the firms that has been working with financial institutions around the world to improve the remittance industry and to make cross-border payments more efficient.
Some of the banks working with this technology include JP Morgan, that has created its own digital currency called JPM Coin, Santander Group and many others.
The International Monetary Fund (IMF) has recently announced that they are working in a digital currency known as Learning Coin with the intention of gathering knowledge about how cryptocurrencies work.