Reliance Jio is making strides within the telecom sector in India. In just two years since its inception, Jio has made big inroads within the telecom sector and now is planning to use the revolutionary blockchain technology to optimize its payments wallet by launching its own cryptocurrency, JioCoin.
The company has formed a 50-member team comprising of young professional minds to work on the blockchain technology and is working forward to develop a solution that can be used to enhance its supply chain management logistics as well as develop applications like smart contracts.
As reported by local business news publication Mint, a person familiar to this matter stated that “The company plans to hire 50 young professionals with an average age of 25 years for Akash Ambani to lead. There are multiple applications of blockchain (for the company). The team would work on various blockchain products.”
It looks like Reliance Jio is all prepared to use the blockchain technology to its maximum potential rather than just using it as a medium of financial transactions. Till now, the most popular application of blockchain has of course been cryptocurrency and so Reliance too wants to dip its toe in this application by launching its own JioCoin.
While talking about Jio’s plans with utilizing the blockchain technology, the personal familiar with the matter also stated that “One (application) is cryptocurrency. We can deploy smart contracts. It can be used in supply chain management logistics. Loyalty points could altogether be based on JioCoin, in the proposal stage.”
He further stated that “Reliance Jio also aspires to get into Internet of Things (IoT). Blockchain technology would come in handy there.”
IoT is a network that aims at connecting several smart devices at a time like homes, smartphones, vehicles, wearables wherein all of these can be interconnected with each other as well as exchange data.
Jio’s decision comes at a time when the Indian government is trying to reduce the influence of cryptocurrencies on investors. The government has raised caution on the use of digital currencies stating that they are not backed by any kind of assets and are tools for doing illicit activities of money laundering and tax evasion.
Earlier this year on Jan 2, 2018, the country’s finance minister Arun Jaitley said that government is still studying the issue further and has employed a special task-force for this. Jaitley stated that the government doesn’t recognize cryptocurrencies as a legal tender and further said that “a committee under the chairmanship of secretary, department of economic affairs, is deliberating over all issues related to cryptocurrencies to propose specific actions to be taken.”
It remains to be seen how Jio proceeds with its plans for JioCoin but the look quite confident at this time about their interest in the optimum use of blockchain technology.