How UPI Became Free — And Who Is Actually Paying For It

1. 1Analyze the UPI transaction process to identify potential cost-bearing points
2. 2Research the role of the National Payments Corporation of India (NPCI) in facilitating free UPI transactions
3. 3Investigate the revenue models of banks and payment service providers involved in UPI transactions
4. 4Compare the UPI model with other payment systems to understand the competitive advantages and disadvantages
5. 5Evaluate the impact of free UPI transactions on the Indian economy and financial inclusion

Product managers, developers, and entrepreneurs in the fintech and payments space can benefit from understanding the business model behind UPI's free transactions

💡 The costs of UPI transactions are borne by banks and payment service providers, who absorb the costs as a strategic investment in customer acquisition and retention

📊 How does UPI process 13 billion free transactions a month in India? 💸