Amazon, Google, Walmart to Join Digital Rupee Project
Date: 2024-08-06 Author: Oliver Abernathy Categories: BUSINESS
Top US tech giants including Amazon, Google, and Walmart have shown interest in participating in the Reserve Bank of India’s digital currency pilot. The move is part of efforts to accelerate the adoption of the digital rupee and expand its use among a wider audience.
AmazonPay, GooglePay, and Walmart-backed PhonePe are all set to join the digital rupee pilot. These companies have significant clout in the payment services market, which can help in the successful implementation of the digital currency.
Indian Fintechs
Indian fintechs like Cred and Mobikwik are also planning to join the project. These companies play a key role in the local market and can provide the necessary infrastructure to conduct transactions with the digital rupee.
Initially, only Indian banks could conduct transactions with the digital rupee through their mobile apps. This limitation slowed down the process of adoption of the digital currency among the population.
In April 2024, the Reserve Bank of India announced that any financial companies with payment services can join the project. This step was taken to speed up the implementation of the central bank digital currency (CBDC), which has been slow so far.
Achievements and Incentives
By the end of June, more than 1 million retail transactions were conducted using the digital rupee. This was made possible by initiatives by local banks, which offered customers bonuses for using the virtual currency and paid a portion of employee salaries in CBDC.
The Reserve Bank of India assured the public that transactions in the digital currency will be more confidential than in fiat currency. This promise became an important argument for attracting users to the new form of money.
The participation of major players such as Amazon, Google and Walmart in the digital rupee project can significantly speed up its adoption and popularization among the population. The increased opportunities for financial companies and the incentive measures taken by the Reserve Bank of India create a favourable environment for the successful development of digital currency in the country.
