Is a cashless society good for economy

[Royal Cap]

I also think the hybrid system is more realistic, but my reason is a little different. For me it is not just a matter of privacy or security but also of backup. If for some reason the internet, banking service or payment system is temporarily shut down, then cash becomes the most reliable alternative.
 I think it would not be right to make people completely dependent on a single payment method. No matter how advanced digital payment becomes, cash will always have a different importance, If the two are together people will be able to use what is convenient according to the situation.

[hafiztalha]

A cashless society is one where payments are made through debit cards, credit cards, or mobile apps instead of physical cash. This makes transactions easier to track, which helps reduce tax evasion and hidden income. With less cash in circulation, theft and robbery also tend to decrease. Payments become faster and more convenient, and there’s no need to carry cash everywhere.

However, there are drawbacks to consider. In a cashless system, banks and the government can monitor every transaction, which raises privacy concerns. There’s also the risk of hacking and data breaches that could expose personal information. Additionally, reliable internet is essential, so elderly people, unskilled laborers, and those without bank accounts may find it difficult to adapt.

Overall, while a cashless society can improve transparency and efficiency, it also brings up important concerns about privacy, security, and accessibility. I am ok with hybrid. Which one would you choose ?

Cashless system create both advantages and disadvantages we cannot completely label is it as good or bad for the economy, for the positive side these cashless system is making the payment method very easy and more convenient we can pay at any time by sitting anywhere for anything we can do shopping we can pay our taxes we can do anything that we want,  it can improve transparency, it also reduce tax invasion there is no need to print the cash there is no need to be worried about where we have to store our cash or how to handle the cash and government can easily track the payment and improve the financial system.

But there are also many issues and risks that is attached to it that it reduces the privacy because what ever transaction we are doing it is being recorded whenever we pay for anything it is recorded when we send or receives money it is recorded,  there are chances of hacking or technical failure  or cyber crime attached to this. I think the most practical choice would be a hybrid system cash and d

[Faisal2202]

A cashless society is one where payments are made through debit cards, credit cards, or mobile apps instead of physical cash. This makes transactions easier to track, which helps reduce tax evasion and hidden income. With less cash in circulation, theft and robbery also tend to decrease. Payments become faster and more convenient, and there’s no need to carry cash everywhere.

Overall, while a cashless society can improve transparency and efficiency, it also brings up important concerns about privacy, security, and accessibility. I am ok with hybrid. Which one would you choose ?

Both, because why not? We are living in a society where still some of the vendors don't take payments online. My tailor doesn't accept payments online, and if anyone is taking payments in cash and not taking them online, are they tax evading?

I don't think that's tax evasion, because it would be evasion when they lie on their forms that they earn less, so they are not eligible for taxation. According to the current law in my country, if we earn less than $150 (round about), we don't have to pay taxes. Taxes on income are not that high here though, so no one has to evade tax, because you know better how they tax us.

Carrying cash in your phone is not that safe either. I have seen so many people losing it just because they were visiting some sites and clicked phishing links and downloaded applications.

[logfiles]

Cash over traditional cashless anytime unless if the cashless is the alternative like Bitcoin or other good cryptocurrencies. Nothing good comes out of Government controlled cashless and the biggest disadvantage is having your transactions monitored and funds frozen/seized at any time. Some of the seizures are more like "legal" robberies.
And please, not everyone who is using cash is trying to evade tax or getting money from suspicious sources.

[Nightwatchmare]

To me I don't buy the idea of a cashless society and it is never good, because it will never make sense, why do I say that it is because it will be associated with network issues and it is not everyone that will have the privilege to use cards. A cashless society will never be effective in this our economy, because we are already used to exchange of cash, from example in the market, in transportation, and if you are thinking of giving arms to the needy who ask you for help, how do you be of help to them when you don't have cash with you.  And also, when we are living in cashless society, we will need to be security conscious at all times on how we use our ATM card on different pos joints.

[r_victory]

That's pretty much what happens in most places where I live; the shopkeeper already asks if you'll be paying by credit or debit card, and if you say cash, they usually won't have change if you need it. Cash is almost a rarity in commercial establishments these days. I don't think it's good or bad; it's just a reality that doesn't directly influence the economy.

[coinlary]

Unless everything is comtrolled by the government the,. trully theft and robbery coul d reduce because  an attempt for robbery will require a recipient account which will be definitely tied to a KYC .Reporting it after the theft will lead to an arrest of a suspect definitely but all of these comes with a cost . Totall comtroll by an entity , which can mess with you anytime , anywhere they want.  
With a cashless society, people woll find a way to stay out of radar especially they  need to commit crime . There's nothing good about such system.

[Maslate]

I have also seen the rapid increase of cashless users here in our locality, while others still stick to the traditional method because they find it easier and they are used to it already especially for senior citizens and those people who are still not literate about the digital method.

However, since people are now divided between cash and cashless methods, then its best to have both methods exist so that whatever the customer is more convenient to use, then he can always stick to it. After all, with this advanced technology, its always the consumers that are given the most advantage, not the developers.

[Hamza2424]

Overall, while a cashless society can improve transparency and efficiency, it also brings up important concerns about privacy, security, and accessibility. I am ok with hybrid. Which one would you choose ?

Yep, dealings in cash can be hidden but eventually authorities can catch you, like if you are not registering your earnings as high as they actually are but you are purchasing with the same appetite. Buying land or assets will raise flags if your amount is big and eventually you can receive a legal notice for clearing your taxes.

Here they will ban your SIMs first and until you clear your taxes they won't unban them, and getting your numbers blocked means you can't make new transactions that require OTPs, or do anything with your money until they say so. Keeping money in banks will also be restricted, they can do whatever they want.

They don't care about anyone's situation, just their money. That's where they are doing it wrong.

But people should know better that keeping money in cash is not the main question, but where they should keep it, like in assets such as gold, or BTC, or as it is. Keeping it in fiat is not wise but also not bad if it is meant to be used for daily expenses.

[alastantiger]

I think it would not be right to make people completely dependent on a single payment method. No matter how advanced digital payment becomes, cash will always have a different importance, If the two are together people will be able to use what is convenient according to the situation.

From the way I understand things cashless economy has had more improvement to the economy than when cash is being used because of the way people tend to spend their money, cash is easily attachable and this make people hardly spend money but when they make use of cashless digital money they can easily spend more. For example I understood that people spend more money on digital things than the physical as I have seen people spending thousands of dollars on virtual clothes and other materials on games than what they spend on their day-to-day life. Cashless policy is the best way an economy can operate but before that happens there has to be uninterrupted internet and also 24 hours light accessible to the people of the country for them to be able to enjoy the cashless policy.

[Sanitough]

I can tell there is actually higher efficiency and bigger convenience as long as cashless society is concern. Although it does not serve for everyone because there are still those who prefer to stay using the paper money, but these people will have no choice but will adapt the cashless system once majority of the shop owners or merchants will focus more on the cashless system years from now.

Everything can be learned in time, maybe some people are not just ready yet of the abrupt transition, but if everything will be payable only thru digital means, then people are left with no choice but to learn how to do it.

[Findingnemo]

Cashless economy isn't a new thing or atleast where I live, it's been more than 15 years I have been using credit/debit cards and in the last 7 or 8 years, the digital payment apps are quite common. And you think old people can't handle but they can, I even saw someone who is 80 years old and might not have much of schooling still can successfully withdraw cash and if they can't they can simply swipe, tap their cards now.

What it does is bad for an individual, when they use physical cash they might be aware of how much they are spending but with these digital payments they are spending the money that they don't have and once the salary is credited the money just goes away for the card bills.

[Chibit01]

However, there are drawbacks to consider. In a cashless system, banks and the government can monitor every transaction, which raises privacy concerns. There’s also the risk of hacking and data breaches that could expose personal information. Additionally, reliable internet is essential, so elderly people, unskilled laborers, and those without bank accounts may find it difficult to adapt.

There is nothing like privacy with the government. As long as you have a bank account, they can track and trace every transaction you make, how you move through other source they basically have us being watched more than we don't know, so if that's the concern you want to raise about cashless society, then we have sold that privacy long ago to them, and they don't respect it.

[DYING_S0UL]

Today, tomorrow, or later, we will eventually be going cashless. So we might as well start practicing it now. It already started happening at my place. Here people carry less cash now, instead they either use cards, or some online based payment methods (mfs services).

I don't know whether it's actually a real thing, but I have heard people saying, when they make use of the online payment system they spend more as they don't feel bad about spending money. But with cash, it's the opposite feeling. Maybe it's a psychological things, I donno. Do any of you feel the same?

Personally I like to pay with my online payment app, since it's easier for me, and that it comes with some perks like discounts, cashbacks, coupons after a certain amount of spendings. So I guess it influences our spending, what or how much. So in that sense, it's good for the economy?  

[JoyMarsha]

The World is shifting to the digital era, and many countries are advancing and advising their citizens to adopt it because it helps reduce the cost of printing their fiat currency. At least the money being saved from that can be used for something else.

A cashless society, has helped in reducing corruption in the civil service because of the payments made to anyone who is not a civil servant through mobile transfers, the government can have them known and traced. Or someone who got a stolen money in their bank account, their identity is easily.known

[stadus]

With how fast and efficient transactions these days, I would say its definitely good for economy. The world is now slowly turning into digital, so this is a good preparation for us to start exploring the digital means because in no time, the whole world will be going digital, and none of us would want to be left behind.

But here's the problem, not all are ready for this payment transition. Majority are still doing the old, traditional thing, this might be the reason also why both options may still exist for long before we can witness the total transition from paper money to digital.

[Ziskinberg]

Good for the rest, but not for the old-aged people, and those who have difficulty in learning the new technology. So I guess the decision is already left for the government as they can't just focused on a one sided consumer, but should be given equal opportunities for everyone.

But on my own perspective, this is really making fast and effective transactions all throughout the world, so I have to say what we have is a great technology, its just that we can't force those people who have learning difficulty with the new technology.

[BRINIRHA]

I Think this is very effective and can have a good impact even though physical money still exists but indirectly electronic payments will also streamline transactions and this can make the printing and management of physical money can be minimized and transparency in the end is clearer and can benefit the government as well.

Currently developed countries or even developing countries have also begun to implement this and honestly for me personally now still like to make payments using digital compared to physical money even I rarely hold physical money for now.
It's not too inconvenient even though I still keep physical money for some things that can happen but for shopping for daily needs I prefer to use digital.

[Shinpako09]

I've watched a few content creators in China, and they almost always use cashless payments for their transactions. Whether it's buying milk tea, street food, or paying a cab fare, it's almost always cashless. Even in third world countries, there are establishments where you can choose whether to pay with cash or online.

That tells me we are slowly heading toward a cashless society, but physical money will always be around, for older peeps. I'm in favor of cashless payments because they can help reduce corruption. It would be even better if all government related projects, whether infrastructure, healthcare, or anything funded by the government, were handled through cashless transactions for better transparency and easier public monitoring.

[Vaculin]

Seeing fewer lines in banks and other payment centers, I can tell that it really serves its purpose. We can save more time and experience more convenience especially if we are always on the rush with our daily routine.

For us, who have benefited the most, this is a great advantage. However for those who can't ride with this cashless society, at least they can still make transactions with paper money. That's the good thing there, its the initiative of the company already how they can cater to the various needs of their customers to stay in demand.