Which one of the following statements about Unified Payments Interface (UPI) and Central Bank Digital Currency (Digital Rupee) is not correct?
Correct answer: D
Explanation
In UPI the liability and settlement risk lie with banks (and the user's bank account), while the Digital Rupee (e-Rupee) is a direct liability of the Reserve Bank of India — sovereign money held in a wallet, not a bank deposit. So statement (d) is wrong because the liability does not lie with users/banks in the case of the Digital Rupee. Statements (a), (b) and (c) correctly distinguish UPI's bank-mediated, account-settled transactions from CBDC's wallet-to-wallet token transfers.