- WhatsApp has won regulatory approval to double the number of users on its payments service in India to 40 million, a source with direct knowledge told news agency Reuters on Friday.
- Instead, the National Payments Corporation of India this week told the company it could double the user base to which it can offer its payment service – currently restricted to 20 million – the source said.
- The NPCI gave WhatsApp approval to start its payments service last year after the company spent years trying to comply with Centre’s regulations, including data storage norms that require all payments-related data to be stored locally.
- Instant messaging platform WhatsApp is pushing for the user cap on its payment service to be increased beyond the current 20 million.
- The National Payments Corporation of India, which operates the country’s retail payment and settlement systems, had allowed WhatsApp to start payment services in November last year with a cap of 20 million users.
- WhatsApp India’s director of payments Manesh Mahatme said in September that it is scaling up the service in phases in partnership with NPCI. Mahatme said the focus will be on accelerating marketing initiatives to increase awareness of the payments feature on the instant messaging app.
- A code found in the latest WhatsApp 188.8.131.52 beta version hints at Novi integration, which will enable global payment transfers, according to XDA Developers.
- The integration of this service would let WhatsApp users send or receive money globally through the Novi digital wallet.
- The company is already running a small pilot of a Novi digital wallet in the US and Guatemala.
WhatsApp is set to rock the digital payments space in India from today with the launch of WhatsApp Pay.
WhatsApp Pay will be using the Unified Payments Interface (UPI), a real-time payments system supported by more than 160 banks in India to run this new feature. With this update, we can expect to see WhatsApp taking on industry veterans like Google Pay, PhonePe and Paytm.
WhatsApp Pay will be initially available to 2 crore WhatsApp users in India. The number of users is being limited as per the cap laid down by the National Payments Corporation of India (NCPI). WhatsApp Pay has the option of expanding its user base in a phased manner.
https://cointelegraph.com/news/whatsapp-payments-suspended-by-brazils-central-bankWhatsApp’s payment features have been suspended in Brazil less than one month after the Facebook-owned app rolled them out.
The Central Bank of Brazil (BC) took action against WhatsApp Pay “to preserve an adequate competitive environment” and allow the central bank to assess the risks posed by the firm to the country’s existing financial sector.
Visa and Mastercard will face heavy fines and administrative sanctions if they do not suspend activities relating to WhatsApp payments.
Centre for Accountability and Systemic Change (CASC), a think tank has sought an immediate rollback of WhatsApp’s pilot project, which enables WhatsApp to extend the payment trial to 10 million users.
It is submitted that in any case, there cannot be any blanket permission for trials, and same should be restricted by duration, number of banks involved and monetary limits. WhatsApp on many occasions has claimed compliance with RBI data localization norms, even though RBI’s affidavit clearly proves that it is not the case,” the application stated