The government has informed the parliament that there are no proposals for a common blockchain-backed platform for banks in India.
Finance Minister Nirmala Sitharaman informed Rajya Sabha in a written reply that there was no proposal to set up guidelines or prescribe a model common blockchain technology platform for the banks.
Ms Sitharaman also informed the parliament about the state of use of the digital ledger by banks in India.
She told the Upper House that only a small number of banks have been using the technology on a small scale. She said that interoperability is not a major issue between banks.
Sitharaman told Rajya Sabha that a consortium of banks is exploring the possibility of using Distributed ledger technology DLT to issue domestic letters of credit LC The consortium of Indian Banks' Blockchain Infrastructure Company IBBIC Private Limited consists of 18 leading public and private sector banks of India.
She said that the consortium was incorporated to provide a platform for exploring, building, and implementing Distributed Ledger Technology solutions for the financial services sector.
While the Reserve Bank of India has been talking about it for a while, the use of the technology for banking is nascent in India.
The central bank has provided a platform for testing innovative technologies, products and services likeBlockchain through Regulatory Sandbox.