An electronic receipt (voucher) for the specified amount will be sent to the user’s cell phone at the e-Ruby facility. He will receive the electronic receipt via SMS or QR code. Prime Minister Narendra Modi on Monday launched the Digital Money Transfer Platform (e RUPI). In association with the National Payment Corporation of India (NPCI), the Federal Ministry of Financial Services is a joint venture between the National Ministry of Health and the National Health Organization. With this payment method, you can send money to an individual for a personal reason.
How does e-RUPI work?
Thee-RUPI service is a prepaid voucher. You do not need any additional tools or processors to use this service, such as credit card debit card mobile app internet banking. Just a mobile number is enough. It will be issued to the citizens directly from the banks after verifying the mobile number and identity. This prepaid voucher works just like demand drafts.
Once the voucher is issued, the user will receive a QR code or SMS with the thee-RUPI voucher. The user can then retrieve it. The alleged QR code or SMS voucher can only be used once by the person issued in its name.
How are these vouchers issued?
It is powered by the Unified Payments Interface (UPI). Thee-RUPI digital payment platform serves as a bridge between payers and recipients. Also, this service can be availed by any government agency or a private company, and people can send money to customers and employees as gift-voucher or cash-voucher. Beneficiaries will be identified using their mobile number, and a voucher issued by a bank in the name of the given person will be issued only to that person.
What is the use of e-RUPI?
Through thee-RUPI service, child welfare schemes can benefit from the Tuberculosis Eradication Program. Private companies can also provide e-vouchers to their employees under the Corporate Social Responsibility (CSR) scheme.
What is the significance of e-RUPI, and how does it differ from the digital currency?
The central bank is already in the process of creating a digital currency. The launch of e-RUPI may make possible the gaps in the digital payment infrastructure necessary for the success of the future digital currency. In practice, e-RUPI is supported by the existing Indian Rupee. This is because its essential asset and specificity is different from a virtual currency and is closer to a voucher-based payment method.
What are the plans of the Central Bank for Digital Currency (CBDC)?
The Reserve Bank is in the process of introducing its digital currency.RBI Deputy Governor Rabi Shankar has said that steps are being taken to implement the Reserve Bank’s digital currency gradually.
However, RBI Deputy Governor Rabi Shankar said that, unlike other cryptocurrencies, the RBI’s digital currency is designed to protect consumers and the public. In the past, Reserve Bank Governor Shaktikant Das has expressed concern over cryptocurrencies. Although CBDCs are similar to currency notes, the introduction of CBDCs involves changes in the legal framework because the current rules are primarily for coins in paper form.
Is there a demand for digital currency in India?
According to the Reserve Bank of India, there are at least four reasons why digital currencies perform better in India. One is the increasing use of digital transactions in the country. This is especially true with an abiding interest in the use of money and small value transactions. ACCORDING TO THE RESERVE BANK, the GDP ratio of the two Indian currencies is ‘another advantage of the CBDCs .’ according to the Reserve Bank. The proliferation of three private virtual currencies, such as Bitcoin and Ethereum, may be another reason why CBDCs are important in the central bank's eyes.As Christine Lagarde, President of the ECB, noted in the BIS Annual Report, “Central banks have to protect public confidence in our money. Central banks need to complement their domestic efforts to identify credible policies and promote innovation in close collaboration to guide central banks to explore digital currencies. .(VC) is a type of private equity. Private equity is a type of property with equity liabilities in companies traded without explicit trading on the stock. Private equity investments are the most commonly be capital investment of the company or acquisition of the operating company)
Voucher based service providers:
The United States has educational vouchers or school vouchers. It is a certificate of government funding for students selected for government-funded education to develop a targeted distribution system.
These are mainly grants given directly to parents of students for the specific purpose of educating their children. The school voucher system is used in many countries except the United States, Colombia, Chile, Sweden, and Hong Kong.