RBI Rolls Out UPI Payments on Smartwatches and Cars
The Reserve Bank of India (RBI) unveiled upgrades to the Unified Payments Interface (UPI), enabling UPI payments via smartwatches, cars, and other IoT devices. An AI voice authentication system, initially in English and soon supporting up to 28 Indian languages, will streamline transaction status checks, complaint resolution, and issue tracking. RBI Governor Sanjay Malhotra noted that UPI payments now account for 85% of India’s digital transactions by volume—about 20 billion transactions monthly, worth over $280 billion. In H1 2025, digital payments represented 99.8% of all transaction volumes and 97.7% of value, totaling ₹1,536 lakh crore ($17.4 trillion). IoT-based payments allow users to pay directly from connected devices without a smartphone. Additionally, Meta AI glasses will support UPI payments up to ₹1,000 via WhatsApp QR codes. These enhancements aim to reduce cash dependence, boost financial inclusion, and drive further UPI adoption across India.
Neutral
UPI upgrades are designed to improve digital payment convenience and adoption but do not directly involve cryptocurrencies. While stronger digital rails may support broader fintech growth, the announcement lacks immediate triggers for crypto market movements. Historically, enhancements to national real-time payment systems have had neutral effects on crypto prices. In the short term, traders may see minimal volatility as attention remains on regulation and major coin catalysts. Over the long term, improved digital payment infrastructure in a large market like India could bolster on-ramp adoption and indirectly benefit crypto. Overall, this news is unlikely to drive significant bullish or bearish swings in trading activity.