NPCI Vajra Platform blockchain-based platform launched for secure and fast payments

NPCI Vajra Platform blockchain-based platform launched for secure and fast payments
  • The Vajra Platform uses distributed ledger technology to ensure security and improve the speed of transactions.
  • Payment companies and end users alike are expected to benefit from this new platform.
  • UIDAI will also use the Vajra Platform for Aadhaar authentication.
The National Payments Corporation of India (NPCI) has launched the Vajra Platform to make payments fast and secure. Based on blockchain technology, the primary highlight of the Vajra Platform is that it automates clearing and settlement of payments, drastically reducing the need for manual reconciliation.

While making the announcement, NPCI said that the Vajra Platform uses distributed ledger technology (DLT). It uses a permissions model to ensure that only approved parties are a part of the network. Payment companies can apply to be a part of the network. Once approved, they can deploy the platform using an application programming interface (API) that will be provided by NPCI.

Benefits of the Vajra Platform

NPCI Vajra Platform blockchain-based platform launched for secure and fast payments

According to NPCI, following are the benefits of the Vajra Platform:

Complimentary Tech Event
Transform talent with learning that works
Capability development is critical for businesses who want to push the envelope of innovation.Discover how business leaders are strategizing around building talent capabilities and empowering employee transformation.Know More
  • Near real-time clearing and settlement of transactions.
  • Minimal reconciliation of transactions.
  • Improved security and reduced operational and financial risks.
  • Legitimate audit trail as DLT is incorruptible.
Improved security and reduction in manual reconciliation should reduce cost of operations for payment companies.

As far as end users are concerned, the introduction of Vajra Platform should make the process of payments even more seamless than it is right now.


The use of DLT and the resulting audit trail should also make it easier to track and resolve payment disputes. At the moment, payment disputes raised by users take at least three working days to be resolved.

In addition to improving the security of payments and making the process faster, the Vajra Platform will also be used for Aadhaar authentication by the Unique Identification Authority of India (UIDAI).

Although the Indian government and has been against the concept of cryptocurrency, it has now embraced one of its features. The Reserve Bank of India has also revealed that it is thinking about developing a sovereign digital currency, although it banned cryptocurrency.

See also:

What is UPI and how does it work?

No MDR charges applicable on payment via RuPay, UPI from Jan 1: FM

Google wants US to learn from India's UPI example, writes letter to Federal Reserve to build FedNow