Centralized, kyced, private money transaction network. Is this something good?
way better than privately owned banks doing the same while extracting profits from users. better than todays crypto with terrible ux where its easy to lose all your money. more practical than cash (but that should still be an option).<p>worse than a system thats convenient and decentralized and anonymous at the same time, but we dont have one yet. maybe in 5 years when ethereum figures out native account abstraction, seamless scaling and monero level privacy.
It’s extremely good, at least in terms of user experience and how practical it is. Adoption is massive and at small chai shops it makes transactions a breeze, allowing businesses to serve more volume. The downside is making it incredibly frustrating for foreigners to pay using this as it’s tied to your government ID that your bank has authorized.
Yes it is. It's not trying to be new money, it's your money that already works.
That's how government money works. This is the best possible system for handling government money. If you want an alternative you could buy some bitcoin with it.
It's the CBDC that govts lust for.
I have heard nothing but good about it, from my Indian friends. They rave about it.
> Is this something good?<p>All good for a central bank digital currency (CBDC) and for creating the digital rupee.<p>Horrible for your bank account.
Yes, it is peak developed world financial infrastructure, ran as a utility under government direction.
How is it KYCd yet also private?
It's the intention and use case. The government want to reduce the fund leakages and reduce corruption, directly transfer the money to citizens, reduce transaction costs. Hence it works.<p>The government does not track all the transactions. You need a police FIR, to review these transactions.<p>In short, Indian government does not track or they don't have the scaling to track. But they can do it, if there is any criminal complaint.
> In short, Indian government does not track or they don't have the scaling to track<p>This is completely wrong.<p>Not only can the Indian govt track each these transactions, it's actually written into law via the 'anti money laundering' bill (PMLA) and the income tax act. For a very high level overview, see <a href="https://www.bankbazaar.com/tax/tax-on-upi-transactions.html" rel="nofollow">https://www.bankbazaar.com/tax/tax-on-upi-transactions.html</a><p>From the article<p>'Can the Income Tax Department Track Your UPI Transactions?<p>Yes. With the integration of PAN, Aadhaar, and Know Your Customer (KYC) via all banking and fintech channels, all your UPI transactions can be tracked. If you think your small-value digital transfers won't be traced, you are mistaken. UPI payments are directly linked to your bank account, and bank records can be obtained by tax officers through scrutiny or reassessment.'<p>Specifically, no complaint or warrants are needed to enable access to UPI transaction records.
> You need a police FIR, to review these transactions.<p>In India, if you even have a small power you can easily review any transactions...
I think OP meant network is private. That also is wrong, it is semi govt.