How it can impact India?

Note that according to this Washington Post’s report the WhatsApp founders clashed with Facebook over building a mobile payments system on WhatsApp in India. WhatsApp’s payments system in India is powered by the Unified Payments Interface (UPI).  We speculate that concerns of WhatsApp founders may have stemmed from the fact that while all messaging on WhatsApp is end-to-end encrypted, the payments service is not, by design. This means while third parties and government agencies cannot peer into chats between two individuals they will be able to have access to data regarding all payments made via WhatsApp.

Livemint had spotted that WhatsApp’s Payments Privacy Policy had been updated after the addition of the UPI payments feature. The new policy allowed WhatsApp to, “share information with third-party providers and services to help us operate and improve Payments…” The policy then adds, “we share information we collect under this Payments Privacy Policy with third-party service providers including Facebook.” The information being shared includes,”mobile phone number, registration information, device identifiers, VPAs (virtual payments addresses), the sender’s UPI PIN, and payment amount.” WhatsApp had responded to this revelation by saying that Facebook does not use WhatsApp payment information for commercial purposes.

WhatsApp has over 200 million monthly active users (MAUs) in India. Globally the platform has 1.5 billion MAUs.