What is JioCoin? Could this blockchain-based token be Reliance Jio’s entry into the crypto world?

Reliance's JioSphere web browser users have noticed the integration of JioCoin, a cryptocurrency token built on Ethereum Layer 2 and listed on the Polygon blockchain platform. Although there has been no official announcement, both Android and iOS users report seeing JioCoin-related features on their devices.

According to a report by the Indian Express, citing the FAQ section in JioSphere, JioCoins are blockchain-based reward tokens. Users can earn these tokens by engaging with various apps under Jio Platforms Limited, provided they use an Indian mobile number.

The value of JioCoin seems to depend on user interaction with Jio's apps and services. Apps like MyJio and JioCinema are expected to support JioCoins in the future. Currently, users can earn JioCoins for free by using the JioSphere browser, with tokens stored in a Polygon Labs wallet.

While the specifics are not revealed, it is speculated that JioCoins may be used for mobile recharges, utility bill payments, and other services within the Jio ecosystem. The terms of use suggest that a UPI-linked bank account might be needed to redeem or convert the tokens, indicating a possibility of conversion into currency.

On 15 January 2025, Jio announced a partnership with Polygon Labs to integrate blockchain technology into its offerings. However, there was no direct mention of JioCoin. Reports from 2018 suggest that Jio Platforms had a 50-member team working on a blockchain token, led by Akash Ambani.

In India, cryptocurrency transactions are subject to a 30 per cent flat tax on profits and 1 per cent TDS, a structure that will apply to JioCoin. The Indian crypto landscape has been challenging due to security breaches like the one at WazirX, affecting public trust. However, the global rise in cryptocurrency value keeps interest in blockchain strong.

An official announcement about JioCoin is expected soon, likely detailing the token's value, trading mechanisms, and functionalities. For now, Jio users can only speculate about JioCoin's role in Reliance's digital ecosystem.

The emergence of JioCoin could mark Reliance's entry into the growing Web3 and blockchain market in India. By linking user engagement with blockchain rewards, Reliance could integrate its ecosystem with the potential of crypto.