Introducing Tokenised Payment System for Online Shopping in India
Digitization have simplied many of our tasks. Simplified tasks is always a better way to look at things. Since the digitization introduced into the Indian monetory system, everyday we learned about new development. From cashless to UPI and now Cardless payment system is being introduced into Indian economy.
From Jan'1 2022, Reserve Bank of India is introducing a tokenised way of payment system for all kind of Online Shopping. This is kind of revolutuin in the indian payment system.
Whenever, it comes to online shopping through credit/ debit cards, people always look out for the 16 digit card number along with the sensitive cvv number and the card expiring date. These all details are must to execute an online transaction.
Remembering all these numbers is always problematic and headache as we have so many thing to recall now and then. However as per the new directive issued by Reserve Bank of India, shoppers can now quickly make contactless payments at any online shopping atform via a new payment method known as 'Tokenization.'
Honestly, whenever I hears of token, my mind always make me to think of cryptos. But in this case, Tokenization payment system is a technique that involves swapping the card information with a Token. This is a very convenient step to ease the consumers shopping experince. RBI is making sure that it is safest mode of payment and chances of fraud will be minimal or absolutely nothing. RBI states that :
Tokenization makes shopping with devices easier and more secure, from protected in-store retail POS activities to payments on-the-go, from regular e-commerce to modern app payments.
Making sure that the new system function smoothly,the supplier bank will give a separate interface (on its own website).
Criteria of Token payment system
- The token system is completelly free
- A user can make multiple tokens.
- Only domestic cards are allowed to buy token.
- A one time card details to submit while check out.
- Choose Tokenization, during checkout from the online shopping platform.
This is a new system, and would be very interesting to see how the co sumer adapt to this. Indian do take some time to adapt to the changes. RBI is also ensuring that this payment method is completelly safe and secure Even if the system is hacked, the hacker won't be able to extract the details.
Waiting to see how this new system get response in new year.
@steemflow