While there has been a significant increase in mobile phone users among Indian residents, mobile banking will not be available in the near future. The country is planning a better financial integration of citizens through a new set of mobile banking services. Unfortunately, the project failed. This now leaves an opportunity for greater Bitcoin acceptance in the country, as the crypto currency allows everyone to be their own bank.
Mobile banking is not a success in India
It has to be said that on paper the Indian Government’s plan seemed quite sensible. In an attempt to emulate the success of M-Pesa-like services in India, the country’s infrastructure was provided for basic mobile banking services. After several years of hard work and planning, it looked like the project was ready to go.
However, everything went differently. The average customer on the street remained uninterested in the new services. The government expected a strong growth of its user base due to this mobile banking initiative. Since its launch in August 2014, however, there seems to be less interest in this project than expected.
This seems relatively peculiar, considering India’s billions of mobile phone users. Since access to basic financial services is difficult in rural areas, this project was thought to close the gap. Government officials believed the project was the trump card in their hands. But even the best efforts can come to nothing.
A golden opportunity for Bitcoin
Since May 2016, a total of 3.7 million mobile transactions have been recorded since the launch two years ago. This figure is pretty disappointing, but it’s not hard to see where things went wrong. One hurdle is that the maintenance of the service is very expensive, and the costs are passed on to the customer. The fees for this mobile banking initiative are more expensive than sending an SMS or a one-minute phone call.
But there is more to it: getting acquainted with the initiative is quite cumbersome. In addition, users can only perform five steps within a session, which ends up giving them a window that is too small for financial self-determination. The benefits do not outweigh the costs, and this situation will have to be addressed in the future.
The problem for this banking project is again a favorable opportunity for Bitcoin. Users who want to control their finances themselves don’t have to look past crypto currencies. Bitcoin is a global currency that has no connection to any banks or governments, and comes with a static money supply of 21 million coins.
In addition, users can be their own bank when it comes to crypto currencies. Each user has full control over their assets, which can be managed with a smartphone at any time. In fact, Bitcoin is the only mobile banking application that can achieve global financial self-determination.