Finally WhatsApp Pay is available for India after two years in test mode. It was first announced in 2018, but the company faced regulatory hurdles to get it approved.
The WhatsApp Pay is based on UPI (Unified Payment Interface), which is defined by NPCI(National Payments Corporation of India). It uses the same system as Google Pay, India’s Paytm and Walmart-owned PhonePe.
To facilitate the payments, WhatsApp had partnered with five banks in India.
While the service is available to everyone, the NPCI has put in place a cap of 20 million users to avoid monopoly by the 400 million users giant Facebook. Although, NPCI had stated that it will be increasing the limit gradually.
Last night, NPCI had announced that it will not allow more than 30% of the monthly transaction volume by WhatsApp or Google Pay.
Both Google Play and PhonePe have more than 1.6 billion out of 2 billion transactions in October alone.