Nandan Nilekani, who designed India’s biometrics-backed unique ID project, the Aadhaar number, has lauded new companies that plan private sector applications using the identity technology.
Nilekani has singled out Paytm, a Noida-based mcommerce company, and new 4G telecom service, Reliance Jio, for "committing" to the platform.
“Happy coincidence that two large challengers – Jio and Paytm – have totally committed to #Aadhaar and #IndiaStack!,” Nandan Nilekani tweeted, reported the Financial Express.
Paytm is introducing an Aadhaar-based eKYC (know your customer) platform, and expects the service to further bolster its payment bank and mobile wallet businesses.
A typical KYC involves a tedious process of verifying the customer’s original documents of proof of identity and proof of address in person, among other things. The Aadhaar-based eKYC will be entirely paperless, instant and secure. The customer’s identity is verified instantly on the basis of matching the biometric scan of fingerprint or iris against the Aadhaar database.
Vijay Shekhar Sharma, Founder & CEO, Paytm said, “We are building India’s largest eKYC customer network to bring half a billion Indians to the mainstream economy. We have aggressive targets to become the largest Aadhar-based eKYC company in the country.”
The eKYC process is paperless and can be carried out either at a Paytm centre or at the customer’s home. Upon arrival, the Paytm agent carries out a quick verification process using a mobile-based biometric scanner and captures the customer’s consent through an Aadhaar-based design.
Paytm has said that the service will also allow access to benefits like subsidies and DBT, besides eradicating the existing framework of manual documentation. Paytm received a license from the Reserve Bank of India (RBI) to set up a payments bank along with 10 other companies in August 2015.
Meanwhile, consumers can now sign up for the new Reliance Jio service a 100% digital Aadhaar-based eKYC process