Cash Is Slowly Dying

[HoNeYBiRD]

I can see it happening.

I will be honest, I prefer being cashless.

I cannot remember the last time I carried any real amount of cash. The only two times I need cash are when I get a hair cut or if I go to a take away which only accepts cash.

Both of them two times are rare, considering I cut my own hair most of the time.

I am more than happy using my phone to buy and do everything.

Fuck carrying cash or change. Just doesn't suit my 'on the go', yuppy style living.

This. I hate carrying coins too.

The statement in the thread title is true for sure.

Although cash won't disappear entirely in the very near future, but it will be used less and less, at least these are the trends for years now.

Can cash be used to pay online? The online market is only expanding.

Contactless payments got a big boost recently with the virus situation, that you're discouraged to pay with cash or it's not even an option anymore in some cases.

Cards or other ways of contactless payment are accepted more and more widely, even in small shops now.

Obviously it's in the best interest of the governments too to support going cashless to fight against black/grey market and keep an eye on the money flow.

It costs a lot of money to produce bank notes and coin. $877.2 million is the currency operating budget for 2020 in the US. A $100 bank note costs 20 cents to print, a penny (= 1 cent) costs 2 cents to make.

Everything points in the direction that cash will go extinct, the question is only the when (probably in our lives). A generation is growing up who pay with their phones exclusively, cash is less and less wanted/needed. Even credit cards are a product of the past now.

 

[bmwap]

I wish my high-yield savings account weren't getting slashed but cash is still king.

 

[HustleTong]

Long way to go until cash disappears.

 

[Panther28]

Massage parlours only take cash, so I don't think we have to worry. Many politicians use them.

 

[coolbreez]

This. I hate carrying coins too.

The statement in the thread title is true for sure.

Although cash won't disappear entirely in the very near future, but it will be used less and less, at least these are the trends for years now.

Can cash be used to pay online? The online market is only expanding.

Contactless payments got a big boost recently with the virus situation, that you're discouraged to pay with cash or it's not even an option anymore in some cases.

Cards or other ways of contactless payment are accepted more and more widely, even in small shops now.

Obviously it's in the best interest of the governments too to support going cashless to fight against black/grey market and keep an eye on the money flow.

It costs a lot of money to produce bank notes and coin. $877.2 million is the currency operating budget for 2020 in the US. A $100 bank note costs 20 cents to print, a penny (= 1 cent) costs 2 cents to make.

Everything points in the direction that cash will go extinct, the question is only the when (probably in our lives). A generation is growing up who pay with their phones exclusively, cash is less and less wanted/needed. Even credit cards are a product of the past now.

There are plenty of ways to purchase things online using cash. It can be converted pretty easily if once you are used to it. Where do you think the money that is saved from not producing cash will be allocated? When those jobs are lost, wouldn't that saved money just go to accommodating such people?

 

[Deleted member 1333509]

It depends on the country. Some places are way more aligned with using cash. Some places aren't.

In Scandinavia they're rapidly phasing out cash. In many countries in a place like Africa, they couldn't possibly phase out cash.

There will be a divide in the future which has started already with technology being the differentiating factor.

 

[coolbreez]

It depends on the country. Some places are way more aligned with using cash. Some places aren't.

In Scandinavia they're rapidly phasing out cash. In many countries in a place like Africa, they couldn't possibly phase out cash.

There will be a divide in the future which has started already with technology being the differentiating factor.

Crytocurrency is increasing in popularity in Africa though. There is a good relationship with cash and cryptocurrency there.

 

[Mr Positive]

Short term yes long term no

 

[tubeboost]

I think that governments and banks are killing cash because Big brother wants to control all people and their transaction. They also want to collect more taxes. It's easier when cash is very limited.

 

[HoNeYBiRD]

There are plenty of ways to purchase things online using cash. It can be converted pretty easily if once you are used to it.

That's the thing. When you need to get used to something vs. doing something self-evidently, people tend to do the latter and you can't really blame them.

I'm not exactly sure about the "plenty of ways" you're referring to and i imagine these options highly depend on your whereabouts.

If you convert cash into something, what you can use to pay online, how is it still considered cash though? It's not like you're feeding bank notes, coins to your computer or phone. lol You need to convert your cash into something digitally comprehensible, otherwise you can sit next to your pile of cash, you won't be able to buy anything online. (Unless meeting in person, but that's not how online business is done in the vast majority of cases.)

Where do you think the money that is saved from not producing cash will be allocated? When those jobs are lost, wouldn't that saved money just go to accommodating such people?

Your guess is as good as mine. It's just a simple fact that keeping the cash system afloat costs a sizeable amount of money. It's not the lion's share, but how stupid is it to make 1 cent coins for almost 2 cents a pop? But even these production costs of bank notes and coins are still nothing compared to the amount, which is lost due to the black market- and money laundering-enabling cash system.

For instance where i live, an EU state, it's still common practice, that if you don't ask for a receipt for a service typically, you get it cheaper. You pay cash, there are no traces that any work was ever done. No trace, no taxes will be paid by the service provider.
Or if you have a job, there's a minimum wage, what you need to receive by law. That is and not a cent more, what you will get on paper, but that's usually not the whole salary and you get the rest from pocket in cash. Obviously there will be no trace of the cash. No trace, no tax will be paid by the employer after the cash part.
And these are just two common practices done on a large scale, enabled by the cash system. This is a lot of money the government doesn't receive in form of taxes. If there's no cash or its usage is very limited and the government has the ability to follow all digital transactions, none of this is possible, at least not in its present form.

A cashless society mignt not be ideal, but that's the general direction, where many countries are heading.

 

[addictedtolearning]

It only makes sense we move 100% digital

 

[Leader777]

Yes if the US keeps printing money the dollar will lose its value

 

[Leader777]

It only makes sense we move 100% digital

Have you seen Dogecoin? I told you!

 

[homeriscool]

Will the government give everyone free technology when they leave school so they can buy stuff?

 

[Soucha]

Digital is the future.
Here in the USA our money isn't backed by gold anyway.
I really don't see what the difference is.

 

[Wendy logan]

Cash will only die when the government decides it is no longer legal tender. Depending on which country you are in, many people still use it and some places don't accept anything but cash. The benefits are:

- Money management, when you physically see the cash you are less willing to hand it over so easily
- Privacy (somewhat), buy goods without companies/governments spying on you trying to promote things to you based on your purchase history
- Access to it at any time, technology can and will fail at some point
- Control, if card transactions become the main form of payment you are at the mercy of the processor/government, they could cut it off at any moment
- For some it's patriotism, cash with unique designs of public and historic figures/moments related to the country or a piece of plastic that is no different to what can be found elsewhere?

Eventually the governments may decide to kill it off but that's more for political reasons than practicality then some form of crytocurrency could become the new cash.

This sums up everything I wanted to say and more. Governments are gradually seeing the benefits of other forms of money and would soon find ways to regulate them so that tax can come into play

 

[osake]

I hadn't thought about it, but I guess that is the trend that we are heading towards. Any other thoughts on this ?

Cash isn't going anywhere. The perceived value and real value of the U.S. dollar [our currency and even other country's currency] is what keeps up economies.

A decline in use of physical cash has already been happening in other countries for years. Think China. Most of the younger generations and older generations have caught up, use WhatsApp for everything. Calls, texts/messaging, making payments, sending/receiving money, etc.

I've met a few exchange students in my area from China who said they can't remember the last time they touched their currency, it had been years...coins and bills.

 

[coolbreez]

That's the thing. When you need to get used to something vs. doing something self-evidently, people tend to do the latter and you can't really blame them.

I'm not exactly sure about the "plenty of ways" you're referring to and i imagine these options highly depend on your whereabouts.

If you convert cash into something, what you can use to pay online, how is it still considered cash though? It's not like you're feeding bank notes, coins to your computer or phone. lol You need to convert your cash into something digitally comprehensible, otherwise you can sit next to your pile of cash, you won't be able to buy anything online. (Unless meeting in person, but that's not how online business is done in the vast majority of cases.)

Your guess is as good as mine. It's just a simple fact that keeping the cash system afloat costs a sizeable amount of money. It's not the lion's share, but how stupid is it to make 1 cent coins for almost 2 cents a pop? But even these production costs of bank notes and coins are still nothing compared to the amount, which is lost due to the black market- and money laundering-enabling cash system.

For instance where i live, an EU state, it's still common practice, that if you don't ask for a receipt for a service typically, you get it cheaper. You pay cash, there are no traces that any work was ever done. No trace, no taxes will be paid by the service provider.
Or if you have a job, there's a minimum wage, what you need to receive by law. That is and not a cent more, what you will get on paper, but that's usually not the whole salary and you get the rest from pocket in cash. Obviously there will be no trace of the cash. No trace, no tax will be paid by the employer after the cash part.
And these are just two common practices done on a large scale, enabled by the cash system. This is a lot of money the government doesn't receive in form of taxes. If there's no cash or its usage is very limited and the government has the ability to follow all digital transactions, none of this is possible, at least not in its present form.

A cashless society mignt not be ideal, but that's the general direction, where many countries are heading.

When contactless cards came out, people had to adjust to the spending limits imposed initially, same for the mobile payments. I was referring buying prepaid cards, and other payments such as uKash and giftcards. Many people do this to buy online without leaving traces of their payment info. Money laundering happens online too, infact it's probably easier online as larger amounts can be done but the average person won't be aware of that yet. When in a cashless society criminals will adapt.

There are other ways to tax such as VAT but I agree being cashless is probably better for that reason, and to also ensure employees are paid a fair wage. I also agree that it's convenient and you don't have to think or plan to bring any cash with you when going out, but I'd be very concerned when we have a society where there's only one way of paying for something (it won't happen but the prospect is still uncomfortable).

 

[Manworm]

This has been going on for decades now, cashless world is inevitable

 

[Zakhej]

Cash is awesome hope it will never die!