Paytm rolled out of FASTag with RFID (radio-frequency identification technology) technology in India, which enabled electronic toll fee collection on highways across the country back in 2017. Last week, a video posted online that showed a boy cleaning glass of a car that has a Paytm FASTag shows a smartwatch scanning it.
Paytm has confirmed that the video is fake and confirmed that FASTag payments can be initiated only by authorised merchants, onboarded after multiple rounds of testing.
NPCI added that the FASTag ecosystem is built on a 4 party model including NPCI, Acquirer Bank, Issuer Bank, and Toll Plazas. It also said that FASTag uses several layers of security protocols are placed to ensure the end-to-end safe processing of transactions.
A video is spreading misinformation about Paytm FASTag that incorrectly shows a smartwatch scanning FASTag. As per NETC guidelines, FASTag payments can be initiated only by authorised merchants, onboarded after multiple rounds of testing. Paytm FASTag is completely safe & secure. pic.twitter.com/BmXhq07HrS
— Paytm (@Paytm) June 25, 2022
Since NETC FASTag operates only for Person to Merchant (P2M) transactions, NPCI said that an individual cannot receive the money in NETC FASTag ecosystem from fraudulent transactions. Only authorised System Integrators (SI), on behalf of concessionaires, are allowed to participate for specific plazas and initiate Payment transactions.
No transactions can be executed through open internet connectivity. No financial transactions can be initiated without all the above prerequisites.
Hence, these videos circulating on Social media are baseless and False. NPCI has already taken action to respond to these videos and delist them from the Social media platforms.