E-wallets may have been critical for India’s digital payments revolution but have since seen set-backs in the form of regulatory changes and competition from UPI. In this blog we take a closer look at the value proposition of e-wallets. 1. Introduction E-wallets[1] a rare breed of financial product where the RBI has permitted non-banking entities to accept ‘deposits’-Read more
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This piece explores the impact of India’s upcoming data protection law on payments businesses, with a focus on cross-selling and physical location of data storage. With India’s upcoming data protection on the horizon, businesses must take a close look at their existing data use practices. The Personal Data Protection Bill 2019 (PDPB) calls for structural, organisationalRead more
This article summarizes the various issues discussed in our webinar on digital payments during COVID-19 with Mr. Arpit Ratan, Co-founder of Signzy. The webinar is available on YouTube. ———————————————— Introduction: On 01 May 2020, Aparajita Srivastava and Arpit Gupta from Ikigai Law held a webinar on ‘Digital payments: Threats and opportunities during the pandemic’. Mr.Read more
Under stress due to cash-flow disruptions caused by the pandemic prompted lockdown, digital lenders are having to adapt their credit models to changing dynamics. Yet, in adversity emerges opportunity- due to social distancing becoming the ‘new normal’, digitized and contactless lending lifecycles will be vital to plugging demand in a credit-starved economy. Uday Somayajula, Co-founder,Read more
Most digital/IT related services have survived the negative economic impact of the ongoing COVID-19 pandemic. However, with a sharp drop in e-commerce and online travel and event booking transactions, the digital payments industry has been hit hard by the COVID-19 lockdown in the last 2 months. UPI transactions decreased from 1.3 million in December 2019Read more
The Steering Committee on Fintech Related Issues (‘Committee’), set up by the Ministry of Finance, recently issued its report (‘Report’)[1], in which it takes stock of developments in the fintech space, globally and in India. It makes 45 recommendations to enable fintech, particularly in critical sectors of the economy, and to promote ‘ease of doingRead more
The Payment and Settlement Systems Act, 2007 (“PSS Act”)[1] for the first time recognized payments as a different function from a bank’s core functions, such as lending, accepting deposits or managing monetary policy[2]. The Watal Committee Report[3] further explained this difference when it suggested in 2016 that payments must be regulated by a separate, independentRead more
Arnika Thakur’s ‘Fintech: Fast and Furious’ in the June edition of Fortune India is a compelling read if you are interested in the Indian fintech ecosystem. The article examines three broad themes: Banks and fintech entities working together: The article examines the sometimes tenuous relations fintech entities share with banks. We note that increasingly fintech companies manageRead more
What is the document? The Strategic Hub for Innovation and Financial Technology (“Staff”) of the Securities and Exchanges Commission (“SEC”) recently released a Framework for ‘Investment Contract’ Analysis of Digital Assets (“Framework” or “Document”)[1]. These are essentially guidelines to assess whether an investment into a digital asset (which, per the document includes any asset whichRead more
What was promised? In November 2018, The US Securities and Exchanges Commission (“SEC”) promised to come out with a ‘plain English’ guidance for developers who wished to undertake their own token offerings[1] (‘token’ is used to indicate a cryptocurrency, crypto-asset or a digital asset; these terms are used interchangeably here, strictly for the purposes ofRead more