In 2021, PM Modi launched the e-RUPI which is not a crypto currency
But every finfluencer confused it with the digital currency launched last year
2 years in, the e-RUPI is literally changing the way govt. schemes benefit the poor
Here's how it is ending corruption in India:
But every finfluencer confused it with the digital currency launched last year
2 years in, the e-RUPI is literally changing the way govt. schemes benefit the poor
Here's how it is ending corruption in India:
Prime Minister Narendra Modi launched a purpose-specific digital payment solution — e-RUPI — on August 2, 2021.
The main purpose of this scheme was to ensure that the benefits released by the government reach the people without any discrepancies.
The main purpose of this scheme was to ensure that the benefits released by the government reach the people without any discrepancies.
It was the first step towards having a digital currency in our country, but e-RUPI is NOT a digital currency.
e-RUPI is a cashless and contactless voucher based system.
Yeah you heard it right! It’s just an e-Voucher, which the government released for specific needs.
e-RUPI is a cashless and contactless voucher based system.
Yeah you heard it right! It’s just an e-Voucher, which the government released for specific needs.
Let’s take an example and understand it better:
There’s a girl named Priya who lives in a remote village.
She is a hardworking student and wishes to study further, but her father is an alcoholic who wastes his family income on getting high.
There’s a girl named Priya who lives in a remote village.
She is a hardworking student and wishes to study further, but her father is an alcoholic who wastes his family income on getting high.
One day, a govt. official visits her school and provides a scholarship to her.
The government transferred the scholarship amount to her bank account, but do you think her father will let her use this for her higher education or will he spend it on buying booze?
The government transferred the scholarship amount to her bank account, but do you think her father will let her use this for her higher education or will he spend it on buying booze?
Of course, that money is gonna go down the drain. To solve this issue we now have e-RUPI.
Because Akshay Kumar can’t solve every social issue, right? 😂
This e-Voucher can only be redeemed for specific needs and to get this voucher, one doesn't even need a bank account.
Because Akshay Kumar can’t solve every social issue, right? 😂
This e-Voucher can only be redeemed for specific needs and to get this voucher, one doesn't even need a bank account.
The govt. informs a bank to issue an e-RUPI voucher in the name of Priya and also adds a specific purpose for it.
The bank then sends a request to NPCI (the authority responsible for UPI) to create an e-RUPI.
The bank sends this back to the govt.
The bank then sends a request to NPCI (the authority responsible for UPI) to create an e-RUPI.
The bank sends this back to the govt.
Which in turn, sends Priya her unique voucher number on SMS and also in the form of QR code.
This whole system is based on the UPI infrastructure and most Indians banks work with it.
So now our girl Priya is definitely going to college🌻
This whole system is based on the UPI infrastructure and most Indians banks work with it.
So now our girl Priya is definitely going to college🌻
What problem is it solving?
This system will ensure that money released for direct benefits does not get in the wrong hands.
And since it doesn’t require smart phones or internet or even a bank account, their macro goal is to get the schemes to the unbanked.
This system will ensure that money released for direct benefits does not get in the wrong hands.
And since it doesn’t require smart phones or internet or even a bank account, their macro goal is to get the schemes to the unbanked.
So that people in our country who are not yet a part of the financial ecosystem that we’ve built or are in the lower literacy population get what’s intended for them and they aren’t left behind.
And you know what?
As soon as it came out, we had the largest vaccination program going on in the world here in India and e-RUPI helped the people take advantage of the free vaccine benefit provided to them by the govt. directly.
As soon as it came out, we had the largest vaccination program going on in the world here in India and e-RUPI helped the people take advantage of the free vaccine benefit provided to them by the govt. directly.
What if the central government wants to directly benefit you, without involving your state govt. in it?
Or state govt. wants to do so without involving the local govt. in it?
Or state govt. wants to do so without involving the local govt. in it?
That was quite impossible before e-RUPI because in our federal structure, the funds are allocated and then these allocations are distributed in the public.
There’s a huge chance of leaks this way.
You can imagine how much funds allocated by the govt. actually reaches the needy.
There’s a huge chance of leaks this way.
You can imagine how much funds allocated by the govt. actually reaches the needy.
Now, even the central or state governments can directly issue citizens a voucher removing the middle man and in turn, removing corruption.
If you think about it fundamentally, morality hardly works when the system is corrupt.
If you think about it fundamentally, morality hardly works when the system is corrupt.
The only way to solve for corruption is to remove the touch points at which it can happen.
Technology can do that in a jiffy!
Technology can do that in a jiffy!
Now, even without any fancy blockchain technology India has built a pretty cool cutting edge payments system.
Imagine what will happen when the real blockchain based digital currency launches for everyone.
Btw, it's already in circulation with 130 crore tokens available.
Imagine what will happen when the real blockchain based digital currency launches for everyone.
Btw, it's already in circulation with 130 crore tokens available.
Read more about India’s own digital currency or CBDC here:
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