The fiat currency and payment systems are increasingly going the Bitcoin way. The digital currency revolution started by Bitcoin has encroached upon the conventional fintech industry which is increasingly trying to copy various features which were so far unique to bitcoin and other cryptocurrencies. The benefits of bitcoin over fiat currency is a well-documented list of facts. The feature-rich digital currency protocol enables people to transfer funds in a more cost and time efficient fashion.
Bitcoin enables people to transfer funds to any part of the world in less than an hour without having to go through a lot of paperwork. Also, the transaction fees (miner fee) charged by Bitcoin network to execute these transactions is also negligible. Making payments with bitcoin on both online marketplaces and real brick and mortar stores is a walk in the park. In order to make a payment, one has to just enter the bitcoin wallet address or scan the QR code of the wallet and authorize the transaction of the fiat equivalent in bitcoin. The transaction will generally be executed within minutes. The simplicity involved in bitcoin transactions makes it ideal for electronic transactions.
The conventional payment systems are trying to introduce similar features into their offering to make the whole payment process easier. Visa has already introduced its mVisa mobile payment solution that allows people to connect their bank accounts and cards to mVisa application on their phone. In order to make payments, they just have to enter the mVisa merchant account number or scan a QR code containing the required information and authorize the payment.
India has the second highest population in the world and a huge mobile phone user base. Mobile-based payments are picking up in the nation. Latest reports state that mobile wallet based fund transfers are growing at a much faster pace than other payment modes, including mobile banking. These conditions present ideal conditions for bitcoin-based monetary applications in the country.
There has been some progress in Indian bitcoin sector. There are a handful of companies catering to the country’s bitcoin market and we can expect more players to emerge in the near future.