The Reserve Bank of India has canceled the banking license of Paytm Payments Bank. The cancellation is effective from April 24. Consequently, Paytm Payments Bank has been prohibited by the central bank from conducting the business of ‘banking’. The central bank said that Paytm Payments Bank has enough liquidity to repay its entire deposit liability upon winding up of the bank. It is important to note that the Reserve Bank has canceled only the banking license of Paytm Payments Bank; Paytm, as the UPI App, continues to function normally.