e-RUPI – Pros & Loopholes
                     e-RUPI – Pros & 
Loopholes
Introduction
e-RUPI is a voucher-based digital payment solution under 
UPI (Unified payment interface). Beneficiaries will get a QR 
code or SMS string-based voucher to their mobile phones. 
They can redeem the voucher without any payments app, 
card or internet banking facility.
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Benefits of welfare schemes 
e-RUPI will be used to deliver the benefits of welfare 
schemes to beneficiaries. In the initial phase, it will be 
used for welfare schemes in the health sector.
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PROS
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Purpose and person-specific
Through the e-RUPI digital payment solution, the benefits 
of welfare schemes can be completely utilized. It is 
purpose and person-specific. The present direct benefit 
transfer scheme does not ensure the appropriate usage of 
the cash sent to the beneficiaries. 
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Digital payment systems
e-RUPI helps to promote digital payment systems.
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Payment without 
smartphones 
This enables payment without smartphones which will be 
beneficial for an unbanked citizen.
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Maintain the privacy 
e-RUPI helps to maintain the privacy of the individual.
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CONS
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Transparency
e-RUPI uses the internet and blurs the transparency of the 
transaction which can lead to a lack of traceability for 
government and legal authorities.
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Outbreak for hackers 
This system can be a major outbreak for hackers as they 
can generate the digital amount without actually earning 
which can affect the efficiency of the scheme.
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