Simpal Mobile Payment is utilizing India’s Unique Identification Authority (Aadhaar) and UPI in an effort to offer an affordable payment device to merchants. The device, called OctoPOS, will be an affordable smartphone that also works as a payment processor.
The device is slated to cost under $100 and is being developed by Chinese manufacturers. OctoPOS will use iris scanning to make payments adding to the security of the payment system. The majority of terminals use fingerprint scans which are easier to circumvent by identity thieves than iris scanning.
Simpal is a startup that was founded by Vineet Toshniwal, a merchant banker.
The startup is based in Mumbai and will offer the company’s device to the public in November. The company has been in talks with several telecoms in an effort to help with the distribution and promotion of the device.
Simpal Mobile Payment was incorporated in 2013 in Mumbai and is a private company.
The company notes that 99.5% of Indian retailers accept cash only. The issue leaves many consumers struggling to deal with a cash-based system only. Retail payments will allow for expedited invoicing and provide comprehensive value to the 12 million neighborhood stores in India that still only accept cash.
OctoPOS will allow for OTC payments to be made and will act as a micro ATM. Payments can be billed to customers and there is an automated fare collection system all on one handy device. Users will also be able to accept offline payments.
The company wants to be able to meet the needs of a cashless society that relies on debit cards and credit cards.
Economical price points are mentioned on the Simpal website, but no further details have been provided. The company’s founders have infused the company with cash to be able to bring the OctoPOS to consumers. The company notes that Aadhaar is used by 98% of adults in the country allowing for the system to be adopted quickly.