By:Dilip Modi, Founder & CEO of Spice Money:

“The Reserve Bank of India’s new directions on the authentication of digital payment transactions represent a progressive step in strengthening India’s fast-growing digital economy. By moving beyond the traditional SMS-OTP model and adopting risk-based checks along with modern alternatives such as biometrics, tokens, and device-based authentication, the RBI is setting the foundation for both stronger security and a seamless user experience.

Digital financial transactions are expected to reach $ 481 billion by 2028-29, marking a threefold growth, according to a report by PwC India. In this journey, robust yet user-friendly authentication will be critical to deepening trust in digital payments, especially among first-time and underserved users. At Spice Money, where we empower 1.55 million Adhikaris to serve millions across rural India, we have seen that trust and safety are the real enablers of inclusion. The RBI’s move is a timely step that balances innovation with responsibility and advances the vision of a safe, inclusive Digital India.”