Question: My mobile wallet app won't let me hold more than a certain balance even though I've completed full identity verification and want to top it up further for an upcoming purchase. Is there a cap, and can it be raised?
Answer: Yes, there's a regulatory cap. Full-KYC prepaid instruments can hold a maximum outstanding balance of ₹2,00,000 at any time, and this ceiling cannot be raised by the issuer for any individual customer, no matter how complete your KYC is. Only minimum-KYC ("small") instruments have a lower, separate cap of ₹10,000, and these also cannot receive cash loading above the same monthly limit.

Supporting evidence:
title: rbi.org.in/FAQs.aspx
quote: The amount outstanding shall not exceed ₹2,00,000/- at any point of time; The amount outstanding at any point of time shall not exceed ₹10,000/-;
context: 17. What happens to outstanding balance if the Small PPIs (both types) are not required anymore and has to be closed? Ans. PPI holder has the option to close the PPI at any time and transfer the funds ‘back to source’ (payment source from where the PPI was loaded) at the time of closure. Alternatively, the closure proceeds can be transferred to a bank account after complying with KYC requirements of PPI holder.
18. What are the salient features of a ‘Full-KYC’ PPI? Ans. The salient features of ‘Full-KYC’ PPIs are as follows: Reloadable in nature; The amount outstanding shall not exceed ₹2,00,000/- at any point of time; There are no limits prescribed for total credits or debits during a month; and They can be used for purchase of goods and services, cash withdrawal and funds transfer.
19. What is meant by ‘duly verified by the issuer’? How should the PPI issuer ensure that it is the ‘own bank account of the PPI holder’? Ans. PPI issuer is responsible for verifying that the bank account pertains to the PPI holder for which it may devise suitable methods of verification.
20. Is funds transfer allowed from a ‘Full-KYC’ PPI? Ans. Yes, funds transfer is allowed from a ‘Full-KYC’ PPI within a limit of ₹10,000/- per month per holder. However, an enhanced limit of up to ₹2,00,000/- per month per beneficiary can be availed if the beneficiary is ‘pre-registered’ by PPI holder. The PPI issuer may, however, set a lower limit after taking into account the risk profile of the PPI holder, other operational risks, etc.

21. Can a PPI holder close the ‘Full-KYC’ PPI? If yes, what will happen to the outstanding amount? Ans. PPI issuers shall give an option to the ‘Full-KYC’ PPI holders to close the PPI and transfer the balance to bank account as per the applicable limits of this type of PPI. For this purpose, the issuer shall provide an option at the time of issuing the PPI, to the holder to provide details of pre-designated bank account or other PPI to which the balance amount available in the PPI shall be transferred in the event of closure of PPI, expiry of validity period of such PPIs, etc. At the time of closure, a holder can specify a bank account which is different from pre-designated account given earlier.
22. What are the cash withdrawal limits in case of PPIs issued by banks? Ans. In case of bank issued PPIs, cash withdrawal is permitted at ATMs, PoS devices, BCs, etc. However, cash withdrawal at PoS devices is subject to a limit