Deposits to the Paytm wallet have stopped as of today. The money in the wallet is still secure, and if there is no balance, FASTag won't function.

RBI guidelines state that as of today, March 16, you will not be able to make deposits into your Paytm wallet. If you have a Paytm FASTag in this case, you will need to update it. You might have to pay twice as much for the toll if you don't do this. A double toll is required, per the rules, if payment is not made via Fastag.

Nonetheless, you can use Fastag to pay for tolls if you already have money in your Paytm wallet. In India, the largest FASTag user base is found on Paytm.

The funds that are currently stored in your Paytm wallet will be usable.
The guidelines state that a user may still use his Paytm wallet to make payments after March 15 if he has money in it. He has the option to move the funds from his Paytm wallet to his bank account if he so chooses.

UPI and Sound Box will remain as facilities.
The Paytm Wallet feature's discontinuation won't affect the UPI service in any way. It will carry on operating as before. There will also be a sound box available. In addition, Paytm will offer additional services like bill payment, recharge, and ticket booking.

On January 31, the RBI banned Paytm Payments Bank.
Because of numerous anomalies and regulatory rule violations, the Reserve Bank of India (RBI) issued an order on February 29th, ordering Paytm Payments Bank to cease all banking operations. The RBI later extended this order, which was issued on January 31, until March 15.

You can now find out how to activate a new Paytm Fastag and deactivate your old one here.