✅ 100 MOST IMPORTANT MCQs — DIGITAL ECONOMY

🟦 SECTION A — DIGITAL ECONOMY BASICS

1. Digital economy mainly refers to:
   A. Cash-based activities
   B. Technology-driven economic activities
   C. Agricultural economy
   D. Traditional business models
   answer: b
2. Which is NOT a component of the digital economy?
   A. E-commerce
   B. Social media ads
   C. Handwritten ledgers
   D. Digital payments
   answer: c
3. Which element drives the digital economy?
   A. Paper vouchers
   B. Internet + Digital devices
   C. Traditional banking
   D. Postal services
   answer: b
4. A key advantage of digital economy is:
   A. Slow service delivery
   B. High operational cost
   C. Faster access and transparency
   D. Limited connectivity
   answer: c
5. Digital divide means:
   A. Division of digital files
   B. Gap between people with and without digital access
   C. Difference in phone models
   D. Difference in wages
   answer: b

🟦 SECTION B — DIGITAL FINANCIAL SERVICES

6. Which is the world’s largest real-time retail payment system?
   A. SWIFT
   B. UPI
   C. RTGS
   D. NEFT
   answer: b
7. UPI is built on which model?
   A. Closed loop
   B. Interoperable instant payments
   C. Offline-only model
   D. Only card-based
   answer: b
8. UPI Lite refers to:
   A. Heavy version of UPI
   B. Small-value offline-like payments
   C. International remittance
   D. Card-based UPI
   answer: b
9. e-RUPI is:
   A. Paper voucher
   B. Prepaid, person-specific digital voucher
   C. Digital coin
   D. Credit instrument
   answer: b
10. DigiLocker stores documents:
    A. Physically
    B. Digitally in the cloud
    C. Only in bank servers
    D. In mobile SIM
    answer: b

🟦 SECTION C — OPEN BANKING

11. Open Banking is based on:
    A. Branch-based verification
    B. API-based data sharing
    C. Manual records
    D. Offline auditing
    answer: b
12. Customer data sharing in open banking requires:
    A. RBI approval only
    B. Bank approval only
    C. Customer consent
    D. Merchant approval
    answer: c
13. India’s open banking model is called:
    A. ONDC
    B. AA Framework
    C. DigiPay
    D. Bharat BillPay
    answer: b
14. API stands for:
    A. Advanced Payment Interface
    B. Application Programming Interface
    C. Automated Payment Integration
    D. Account Protection Interface
    answer: b
15. Open banking enables:
    A. Loan processing only
    B. Data portability
    C. Manual decision-making
    D. Cash-heavy operations
    answer: b

🟦 SECTION D — ACCOUNT AGGREGATOR (AA)

16. AA framework works on:
    A. Paper-based KYC
    B. Secure, consent-driven data sharing
    C. SMS-based banking
    D. International SWIFT messaging
    answer: b
17. Under AA, data can be shared only if:
    A. Bank insists
    B. Customer provides consent
    C. Government mandates
    D. Merchant demands
    answer: b
18. AA helps customers:
    A. Lose data privacy
    B. Share financial data securely
    C. Open bank branches
    D. Block digital payments
    answer: b
19. AA ecosystem includes:
    A. FIPs and FIPs only
    B. FIPs, FIUs, Customers
    C. Only banks
    D. Only fintechs
    answer: b
20. FIU in AA stands for:
    A. Financial Integration Unit
    B. Financial Information User
    C. Finance India Union
    D. Foreign Interchange Utility
    answer: b

🟦 SECTION E — FINTECH ECOSYSTEM

21. Fintech means:
    A. Finance + Hardware
    B. Finance + Technology
    C. Finance + Agriculture
    D. Finance + Retail
    answer: b
22. Which is NOT part of fintech?
    A. Payments
    B. Lending
    C. Insurance
    D. Brick-and-mortar-only retail
    answer: d
23. Neobanks:
    A. Have no physical branches
    B. Are agriculture subsidy centers
    C. Are money exchangers
    D. Are only for loans
    answer: a
24. InsurTech deals with:
    A. Food delivery
    B. Insurance + Technology
    C. Agriculture only
    D. Telecom
    answer: b
25. WealthTech refers to innovation in:
    A. Mutual funds, stocks, investing
    B. Mining
    C. Leasing
    D. Government procurement
    answer: a
26. RegTech primarily helps with:
    A. Cooking recipes
    B. Regulatory compliance using technology
    C. Real estate
    D. Payroll
    answer: b
27. A key driver of fintech growth is:
    A. More paper forms
    B. AI + ML
    C. Manual verification
    D. Non-digital savings
    answer: b
28. Fintech challenges include:
    A. Cybersecurity risk
    B. High paper usage
    C. Slow digital adoption
    D. Traditional training
    answer: a
29. Digital lending uses:
    A. AI, scoring, online verification
    B. Only physical visits
    C. Manual KYC
    D. Hand-written loan apps
    answer: a
30. WealthTech platforms offer:
    A. Online investments
    B. Only savings accounts
    C. Offline-only services
    D. Mobile recharges
    answer: a

🟦 SECTION F — DIGITAL PUBLIC INFRASTRUCTURE (DPI)

31. DPI means:
    A. Physical infra only
    B. Digital platforms that support public services
    C. Only telecom towers
    D. Highway construction
    answer: b
32. India Stack is a:
    A. Collection of digital public goods
    B. Single banking software
    C. Government tender portal
    D. Crypto exchange
    answer: a
33. Which is NOT part of India Stack?
    A. Aadhaar
    B. DigiLocker
    C. UPI
    D. FASTag
    answer: d
34. Aadhaar provides:
    A. Digital identity
    B. Digital currency
    C. Digital farming
    D. Digital loans
    answer: a
35. e-KYC enables:
    A. Manual verification
    B. Instant digital verification
    C. Post-office KYC
    D. Notary-only verification
    answer: b
36. DigiLocker enables:
    A. Secure digital document storage
    B. Paper locker
    C. Gold locker
    D. Warehouse login
    answer: a
37. UPI belongs to which India Stack layer?
    A. Identity
    B. Payments
    C. Data Empowerment
    D. Governance
    answer: b
38. Account Aggregator belongs to which layer?
    A. Identity
    B. Payments
    C. Data Empowerment & Consent
    D. Governance
    answer: c
39. CoWIN is part of:
    A. Health DPI
    B. Agriculture DPI
    C. Telecom DPI
    D. Education DPI
    answer: a
40. GeM (Government e-Marketplace) is used for:
    A. Government procurements
    B. Personal loans
    C. Gold trading
    D. Share trading
    answer: a

🟦 SECTION G — DIGITAL INDIA INITIATIVES

41. Digital India focuses on:
    A. Paper-heavy offices
    B. Digital governance + services
    C. Only rural employment
    D. Export incentives
    answer: b
42. UMANG provides:
    A. Single app access to multiple govt services
    B. Only banking services
    C. Only telecom services
    D. Training jobs
    answer: a
43. eNAM is a platform for:
    A. Medical bill payments
    B. Agriculture market integration
    C. Education services
    D. Job matching
    answer: b
44. SWAYAM is related to:
    A. Digital education
    B. Digital loans
    C. Digital insurance
    D. Telehealth
    answer: a
45. DIKSHA is a digital platform for:
    A. Teachers & School education
    B. Banking
    C. Agriculture
    D. Medicine
    answer: a

🟦 SECTION H — ONDC (Open Network for Digital Commerce)

46. ONDC is built to:
    A. Help only big companies
    B. Democratize e-commerce
    C. Stop digital payments
    D. Promote only one brand
    answer: b
47. ONDC enables:
    A. Open, interoperable e-commerce network
    B. Only offline commerce
    C. Card-only payments
    D. Cross-border taxes
    answer: a
48. ONDC helps:
    A. Small retailers compete with big platforms
    B. Only Amazon
    C. Only Flipkart
    D. Only malls
    answer: a
49. ONDC is similar to:
    A. A social media site
    B. UPI for e-commerce
    C. Warehouse management
    D. Crypto trading
    answer: b
50. ONDC benefits include:
    A. Lower digital competition
    B. Closed marketplaces
    C. Interoperable open digital buying/selling
    D. Higher entry barriers
    answer: c

🟦 SECTION I — DIGITAL PAYMENT SYSTEMS

51. UPI supports:
    A. Only debit
    B. Only credit
    C. Push & Pull payments
    D. Only QR deposits
    answer: c
52. UPI AutoPay is for:
    A. Loans
    B. Subscription mandates
    C. KYC
    D. Cash deposits
    answer: b
53. UPI Lite works mainly for:
    A. High-value RTGS
    B. Small instant transactions
    C. Forex conversion
    D. Cheque clearing
    answer: b
54. BHIM stands for:
    A. Bharat Interface for Money
    B. Basic Home Internet Module
    C. Banking Hub for India Market
    D. Bharat Home Inventory Manager
    answer: a
55. FastTag is used for:
    A. Insurance
    B. Toll payments
    C. Wallet recharge
    D. Railway ticketing
    answer: b
56. RuPay is:
    A. India’s very own card network
    B. Foreign network
    C. Wallet app
    D. Aadhaar service
    answer: a
57. AePS uses:
    A. Fingerprint + Aadhaar for banking
    B. QR codes
    C. PAN numbers
    D. OTP only
    answer: a
58. Bharat BillPay covers:
    A. Only private bills
    B. All recurring payments
    C. Only gas bills
    D. Only loan EMI
    answer: b
59. IMPS enables transfers:
    A. Only on weekdays
    B. 24×7 instant
    C. Only above ₹2 lakh
    D. Only NEFT hours
    answer: b
60. NEFT works on:
    A. Batch settlement
    B. Instant settlement
    C. Card networks
    D. ATM network
    answer: a

🟦 SECTION J — CYBER SECURITY & DIGITAL RISKS

61. Major digital risk is:
    A. Cyber attack
    B. Cash shortage
    C. Delayed cheques
    D. ATM downtime
    answer: a
62. Phishing means:
    A. Fishing online
    B. Fraudulent attempts to steal data via fake links
    C. SMS recharge
    D. Digital scanning
    answer: b
63. Ransomware locks:
    A. Mobiles
    B. Digital systems unless ransom paid
    C. Gateways
    D. ATM machines
    answer: b
64. Digital identity theft occurs when:
    A. PAN is updated
    B. Aadhaar is misused
    C. Phone recharged
    D. Shopping is done online
    answer: b
65. Main solution for cybersecurity:
    A. More cash
    B. Encryption & multi-factor authentication
    C. Paper files
    D. Manual checking
    answer: b

🟦 SECTION K — CBDC (CENTRAL BANK DIGITAL CURRENCY)

66. Digital Rupee in India is issued by:
    A. SBI
    B. NPCI
    C. RBI
    D. SEBI
    answer: c
67. CBDC is:
    A. Cryptocurrency
    B. Central Bank’s digital form of currency
    C. Wallet token
    D. Payment gateway
    answer: b
68. e₹ is available as:
    A. Only retail
    B. Only wholesale
    C. Wholesale & Retail types
    D. Only for exporters
    answer: c
69. CBDC operates on:
    A. UPI
    B. Blockchain-like architecture
    C. Cheque system
    D. SWIFT route
    answer: b
70. CBDC aims to reduce:
    A. Digital payments
    B. Cash printing cost
    C. Credit cards
    D. Insurance claims
    answer: b

🟦 SECTION L — DIGITAL GOVERNANCE & SERVICES

71. CoWIN is used for:
    A. Tax filing
    B. Vaccination management
    C. Online schooling
    D. Property registration
    answer: b
72. e-Shram platform is for:
    A. Farmers
    B. Migrant workers
    C. Teachers
    D. Data analytics
    answer: b
73. PM-WANI promotes:
    A. Open public WiFi
    B. Cashless ATMs
    C. Fiber networks
    D. Mobile wallets
    answer: a
74. MyGov portal supports:
    A. Citizen engagement
    B. Bank mergers
    C. UPI
    D. GST payments
    answer: a
75. BharatNet mission focuses on:
    A. Road construction
    B. Rural broadband connectivity
    C. SKDR
    D. ATM expansion
    answer: b

🟦 SECTION M — INDUSTRY 4.0 & EMERGING TECH

76. Industry 4.0 uses:
    A. Steam power
    B. Automation + IoT
    C. Manual labour
    D. Fax machines
    answer: b
77. IoT refers to:
    A. Internet of Tools
    B. Internet of Things
    C. Internet of Training
    D. Industrial Online Techniques
    answer: b
78. Big Data is useful for:
    A. Only text files
    B. Large-scale analytics
    C. Slow manual processing
    D. Spreadsheets only
    answer: b
79. Robotics in banking helps with:
    A. Cash printing
    B. Automation of repetitive tasks
    C. Credit scoring
    D. Manual filing
    answer: b
80. Blockchain is known for:
    A. Centralization
    B. Distributed ledger
    C. No transparency
    D. Offline usage
    answer: b

🟦 SECTION N — E-COMMERCE & DIGITAL BUSINESS

81. E-commerce platforms allow:
    A. Only offline sales
    B. Digital buying & selling
    C. Government-only transactions
    D. Postal services
    answer: b
82. Logistics platforms help:
    A. Loan repayment
    B. Delivery tracking & supply chain
    C. Insurance
    D. Investments
    answer: b
83. Last-mile delivery ensures:
    A. Warehouse storage
    B. Product reaches customer
    C. Government procurement
    D. Inflation control
    answer: b
84. Subscription economy refers to:
    A. One-time sales
    B. Monthly/annual digital service payments
    C. Paper delivery
    D. Cheque-based consumption
    answer: b
85. Social commerce means:
    A. Social media-based buying/selling
    B. Voting
    C. Job search
    D. Government taxes
    answer: a

🟦 SECTION O — DATA PRIVACY & PROTECTION

86. Personal data includes:
    A. Email, phone, PAN
    B. Rocks
    C. Weather
    D. Furniture details
    answer: a
87. Data privacy laws ensure:
    A. Data misuse
    B. Proper handling of user data
    C. Spam
    D. Blocking payments
    answer: b
88. Consent management ensures:
    A. Banks store cash
    B. Customers control their data sharing
    C. RBI controls ATMs
    D. Merchants track inventory
    answer: b
89. Data localization refers to:
    A. Data stored in foreign countries
    B. Storing Indian data within India
    C. Data lost
    D. Data removal
    answer: b
90. Cyber hygiene means:
    A. Physical cleaning
    B. Safe digital practices
    C. Toilet cleanliness
    D. Food safety
    answer: b

🟦 SECTION P — MISCELLANEOUS

91. API banking improves:
    A. Manual workload
    B. Digital automation
    C. Cheque printing
    D. Cash transactions
    answer: b
92. Cloud computing provides:
    A. Offline data only
    B. Scalable, on-demand resources
    C. Only hardware
    D. No security
    answer: b
93. JAM Trinity includes:
    A. Jan Dhan + Aadhaar + Mobile
    B. Jio + Airtel + MTNL
    C. Job + Agriculture + Medicine
    D. Java + Android + MacOS
    answer: a
94. WhatsApp banking is an example of:
    A. Offline banking
    B. Conversational banking
    C. Manual banking
    D. Traditional banking
    answer: b
95. Digital onboarding means:
    A. Manual KYC
    B. KYC via Aadhaar/e-KYC
    C. Offline only
    D. Physical signatures only
    answer: b
96. Tokenization of cards ensures:
    A. Card misuse
    B. Exposing card numbers
    C. Masking actual card number
    D. Card cancellation
    answer: c
97. QR code payments require:
    A. Printer
    B. Camera & app
    C. Cheque book
    D. ATM
    answer: b
98. Two-factor authentication includes:
    A. ATM cash
    B. OTP + PIN
    C. Cheque leaf
    D. Voucher
    answer: b
99. Chatbots use:
    A. AI
    B. Handwritten replies
    C. Postal letters
    D. Newspapers
    answer: a
100. Digital transformation success depends on:
     A. Technology + People + Processes
     B. Only people
     C. Only software
     D. Only hardware
     answer: a

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