[signal11]

If UPI competed with cash, that’d be sort of fine.

The problem is that UPI enthusiasts think it’s a perfect replacement for cards. It’s not.

Even with cash, because you need physical presence, you can inspect the goods. Under many UPI scenarios, that doesn’t happen.

So a “and cash does?” comment sounds like a clever zinger, but in reality cash and UPI have different threat models.

Equally, UPI is a useful alternative to cash and cards. The real world isn’t black and white. It’s not like UPI has zero value. But it’s not like cash and cards has zero value either.

Finally, one scenario where cash > UPI is: anytime there’s an internet shutdown. Of which India has an insane number.

[colesantiago]

You can use UPI offline:

https://www.gadgetsnow.com/how-to/how-to-pay-online-using-up...

This is what I mean with so many misconceptions, falsehoods and just outright conspiracy theories, from people who have probably never used UPI.

[signal11]

> you can use UPI offline

Yes, UPI Lite (local offline wallet) has a transaction limit of INR 200. Yes, 200. With a limit of 4000 per day and the Lite wallet can hold 2000 at any one time.

Good luck doing anything serious with that. Also, good luck reloading the wallet when the internet is blocked.

Note: the context of this thread was a UPI vs Cash comparison. Cash is king when the internet isn’t available. UPI Lite notwithstanding.

And for those unfamiliar with Indian context: internet shutdowns happen at the drop of an hat, at a city or sometimes state/part of a state level. For days or longer. In one notorious instance, for multiple months. There’s little oversight, any local authority can make it happen, with little recourse by the public.

They are a massive failure of local governance in India. And getting defensive about it won’t help you in the long run, if you live in India. Sooner or later, you’ll be affected too.

[alephnerd]

> They are a massive failure of local governance in India. And getting defensive about it won’t help you in the long run, if you live in India. Sooner or later, you’ll be affected too.

Yep. Welfare Schemes are distributed via UPI, and internet shutdowns often affect regions where there are a number of residents who are eligible for welfare schemes like MGNREGA, PMSBY, etc.

Look at Manipur for example or portions of UP during law and order flairups.

That said, in my ancestral village it is being used as a cash alternative. Almost no one there is eligible for a credit card, and "payment disputes" are resolved with lathis or bandhs.