The National Payment Corporation of India has announced its blockchain-based Vajra platform for automated payment clearing and settlement. The permissioned platform will reportedly be available only to parties who are approved by the Network Administrator, and is expected to provide improved automation, data sharing, transaction speed, and transparency.
According to NPCI’s announcement literature, Vajra’s reliance on blockchain technology is designed to reduce manual processing and speed up the dispute resolution process. And since the framework uses cryptography, NPCI anticipates increased transaction security as well.
NPCI also confirmed that Vajra users will be able to access the platform without any technical changes to their system, through secure internet interfaces. The platform will network three types of nodes, which include NPCI’s clearing house node, the bank and payment services participant nodes, and a Notary node reserved for Aadhar biometric authentication.