Reportedly, the app uses its parent Facebook’s infrastructure for offering payments in India, but ensures data encryption and controlling its commercial purposes.
WhatsApp is working in alignment with private lender ICICI Bank to offer mobile payments via Unified Payments Interface (UPI), a system developed by National Payments Corporation of India (NPCI) for facilitating interbank transactions in India. It is also planning to partner with Axis Bank, HDFC Bank and State Bank of India for initiating payments.
With Facebook’s name surfacing in the data breach scandal, WhatsApp being a part of the family is facing a lot of restricting pertaining to its payments wing.
Ministry of Electronics and Information and IT has even written a letter to the NPCI, inquiring about the matter.