Nucleus launches digital payment solution 'PaySe'

Financial technology solutions provider Nucleus Software today launched its offline digital cash solution 'PaySe' that allows users to conduct transactions using digital currency.
PaySe -- which is a play on the phrase 'pay securely' and denotes 'cash' in Hindi language -- aims to address the challenges faced by banks and microfinance institutions in making basic banking services accessible to the unbanked, Nucleus Software Executive Vice President Ashutosh Pande told reporters here.
"This is the world's first secure offline peer-to-peer payment solution. It helps to reduce and offset the costs associated with cash by replacing physical cash notes with digital currency. With fewer notes in circulation, the cost of storing, transporting and processing cash will reduce dramatically," he added.

The solution comprises of three parts -- PaySe processing system (a platform that digitises cash); PalmATM (a bank teller app that allows smartphones to perform functions of an ATM including the ability to withdraw and deposit) and 'Purse' (a device to carry digital money).
While the consumer 'Purse' is being launched at Rs 1,000, the merchant 'Purse' will be available for Rs 2,000. The Bluetooth-enabled device does not require Internet connectivity to operate and hence works well for rural areas that have patchy network.
According to reports, the total cost of storing, transporting and processing cash is about Rs 22,000 crore annually.

"PaySe has been designed to mimic cash transactions with easy to use, one press 'Pay' and 'Receive' functions. By freeing up cash, the solution will facilitate the cost effective delivery of small loans," he said.

As this is a peer-to-peer digital solution, there is also no levy of fees.
"We are in talks with banks, MFIs and payment banks for roll out of the service. We hope to sign on a customer before the fiscal end," he said.
Pande said all the mobile wallet providers can use the PaySe platform to provide offline solutions.