Is a cashless society good for economy

[Zy_sat]

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.

For now I agree with hybrid method of payment since I’m one of the society that still using cashless over the real money. In my country, many people are using cashless nowadays still many of small shop allow cash for the payment. It is correct that this cashless action can reduce the possibility of robber or theft, still there is a hacker there. Many cases on this era is using the fake call, or fake link to do robbery and it is called as cybercrime. Many people getting smarter than before just to do the robbery itself.

So if we want to said that the cashless will make a good economic by the transparency, I’m not into it. The reason is because the cybercrime is more harder to face right now in the globalization era. I we compare to the previous era when all payment we used is all cash, we have many way to make money safe, we built more awareness when we bring those cash around us, that is true the robber and thief are everywhere, but the one we increase more is our awareness to put the money more safe. Just an opinions, maybe hybrid still become the best idea for our daily activities right now.

[fruktik]

In my country, for example, it's the opposite: cash has recently become a priority, as the government increasingly talks about freezing people's bank deposits. So people have started withdrawing money from their accounts. Another reason for the increased demand for non-cash money is the constant outage of mobile internet. Payment terminals simply don't work. Announcements about this are increasingly appearing at checkout in stores.

If things continue like this, I don't rule out the possibility that people will start paying for goods and services with crypto, despite it being illegal. But no one will care. We're talking about simple survival.

[Hewlet]

If things continue like this, I don't rule out the possibility that people will start paying for goods and services with crypto, despite it being illegal. But no one will care. We're talking about simple survival.

There are two areas the government of any nation can not succeed in and the areas include trying to eliminate the fiat and stopping mobile banking system. these two deals directly with the government and so, it is very difficult for the government to regulate it to the extent that the common man can not have access to it.

Cashless economy has helped to reduce the extent of theft we have now even though we are now seeing an increase in the stealing of peoples handset.  An hybrid economy that combines cash, mobile money and crypto is the best that every economy should adopt because adopting just one of them is not enough to ensure long term sustainability of an economy.

[Swordsoffreedom]

In my country, for example, it's the opposite: cash has recently become a priority, as the government increasingly talks about freezing people's bank deposits. So people have started withdrawing money from their accounts. Another reason for the increased demand for non-cash money is the constant outage of mobile internet. Payment terminals simply don't work. Announcements about this are increasingly appearing at checkout in stores.

If things continue like this, I don't rule out the possibility that people will start paying for goods and services with crypto, despite it being illegal. But no one will care. We're talking about simple survival.

What country are you from? Because based on what you are saying, internet is frequently disrupted and payment devices do not work, so how could you switch to using crypto and consider it an effective solution? Crypto is also entirely dependent on electricity and the internet

From what you are experiencing in your country, I'm even more convinced of my view that cash will never completely disappear. Cash will continue to play a crucial role as a backup option even as the world moves toward a cashless society.

[CryptoBuds]

Cashless economy has helped to reduce the extent of theft we have now even though we are now seeing an increase in the stealing of peoples handset.  An hybrid economy that combines cash, mobile money and crypto is the best that every economy should adopt because adopting just one of them is not enough to ensure long term sustainability of an economy.

Cashless economy will help reduce theft, but it will increase scam, cybercrime and financial data theft. The cashless payment system is not as perfect as many people mistakenly believe.

However, I tend to agree with you that the economy would be more sustainable if it combined digital system, cash and crypto. Relying on a single payment method is very risky because each of them has its own drawback. There is no perfect solution in every situation. So once a disruption occur and there is no backup option available, the economy will inevitably face serious disruption.

[Dr.Bitcoin_Strange]

In my country, some states to be precise are gradually adopting to this cashless society, although just as anything that has an advantage would alway have its disadvantage, that's how it is in this case, there are some older people who aren't adopting to this method of internet banking transactions and in some localities, they have market that is dominated by older people who doesn't even like bank stress, so they prefer being paid in cash, so it would be a problem for people like that to trade efficiently. So, I think it's better to have an equilibrium in that sense.

[ZAINmalik75]

In my country, for example, it's the opposite: cash has recently become a priority, as the government increasingly talks about freezing people's bank deposits. So people have started withdrawing money from their accounts. Another reason for the increased demand for non-cash money is the constant outage of mobile internet. Payment terminals simply don't work. Announcements about this are increasingly appearing at checkout in stores.

If things continue like this, I don't rule out the possibility that people will start paying for goods and services with crypto, despite it being illegal. But no one will care. We're talking about simple survival.

How are people going to pay with crypto if there is a constant outage of mobile internet in your country as you mentioned? You can't use cryptocurrencies without internet services, and you can't expect to have Wi-Fi services available for customers everywhere because that's not a viable solution for this problem. In countries where people are unable to use centralized digital payment methods because of a lack of internet services for the general public, you can't expect the country or the people to start using cryptocurrencies for payments because it's basically the same thing.

Usage of cryptocurrencies as a payment is only possible and will make more sense in countries where people mostly use digital payment methods instead of cash. Countries like Japan are very advanced when it comes to things like these because I have seen in so many videos and vlogs where people mostly pay using their mobile devices or cards and they barely carry cash around for making payments, and this is possible because they have great infrastructures for everything, including the availability of internet services for the general public.

[liasbaa]

In my country, some states to be precise are gradually adopting to this cashless society, although just as anything that has an advantage would alway have its disadvantage, that's how it is in this case, there are some older people who aren't adopting to this method of internet banking transactions and in some localities, they have market that is dominated by older people who doesn't even like bank stress, so they prefer being paid in cash, so it would be a problem for people like that to trade efficiently. So, I think it's better to have an equilibrium in that sense.

Although cashless payment is generally positive, it will not be easy to implement it in underdeveloped countries. Many developed countries have not fully implemented cashless payment because even though they have the necessary infrastructure, many of the elderly feel more comfortable using paper money. In the state where I live, some places have cashless payment but there is also a cash transaction system. Most of the elderly seem to be more enthusiastic about giving cash funds. It will take more time to change the old social structure and financial system. A balance must be maintained between cash and cashless payment systems because it is almost impossible to change the old system.

[Yeesha]

Cashless economy will help reduce theft, but it will increase scam, cybercrime and financial data theft. The cashless payment system is not as perfect as many people mistakenly believe.

However, I tend to agree with you that the economy would be more sustainable if it combined digital system, cash and crypto. Relying on a single payment method is very risky because each of them has its own drawback. There is no perfect solution in every situation. So once a disruption occur and there is no backup option available, the economy will inevitably face serious disruption.

You are extremely right, both using cash or living in a cashless economy has advantages and the disadvantages. Just like you said, there is no perfect solution in every situation,  so the best thing is to be extremely careful and before making any decision concerning your resources, assets or money the best thing is to consider some concrete alternatives such as safety and creating tight security measures. Robbery/ theft is actually real as well as cyber crime and scam, we just have to be caution on how we handle things. It is not safe to move about with a huge amount of money. But the existence of cryptocurrency has made some certain things more easier and secure due to its peer to peer nature.

[Cheema02]

In my country, for example, it's the opposite: cash has recently become a priority, as the government increasingly talks about freezing people's bank deposits. So people have started withdrawing money from their accounts. Another reason for the increased demand for non-cash money is the constant outage of mobile internet. Payment terminals simply don't work. Announcements about this are increasingly appearing at checkout in stores.

If things continue like this, I don't rule out the possibility that people will start paying for goods and services with crypto, despite it being illegal. But no one will care. We're talking about simple survival.

Many people in our country turning on cash inspite of digital system because in financial system people trust on each other because they always have access to money. Because some time in banking due to error cash blocks or some time freeze temporarily so people losing trust on banking and don't want to take risk of losing there savings. Mostly  due to weak internet access situations becomes more difficult so digital system no doubt is very reliable and easy to use but if it meets with proper infrastructure like strong internet access because if payments make issues during business then it's a waste of time for both customer and businessmen. Currently Crypto have a major hype even in history when currency collapse then people find a reliable asset and currently this asset is crypto. So government works on digital system because it's convenient or also focused on crypto for future.

[ProsperBTC001]

Cashless economy will go smoothly when the country is well developed. Even up till date am sure some people in some places don't even have access to smart phone or even have a knowledge of how it operates, so for instance you traveled to place that doesn't have this privilege and you want to let's say buy something, what will become of you. In a  situation like this it becomes difficult for the both parties.
Cashless payment has advantages and disadvantages so it's best if we work with both cash and cashless payment. It will help lot of people,

[Cookdata]

In my country, for example, it's the opposite: cash has recently become a priority, as the government increasingly talks about freezing people's bank deposits. So people have started withdrawing money from their accounts. Another reason for the increased demand for non-cash money is the constant outage of mobile internet. Payment terminals simply don't work. Announcements about this are increasingly appearing at checkout in stores.

If things continue like this, I don't rule out the possibility that people will start paying for goods and services with crypto, despite it being illegal. But no one will care. We're talking about simple survival.

I think there is similarities from what I have experienced before. Two times under one presidency, our government has tried to make our local currency valuable, there was high circulation of money in circulation(the president and the cbn went brrrr and printed so much money then) and they were looking for fast way to put things together because they were almost out of time as they had less than 7 months to handle the government to another government. They made a policy to go cashless and people began to hold money, that was the first time I knew people hide money at home.

Cashless policy has it advantages and have disadvantage, on the side of what the government did, I think they achieved alot, today it's very difficult to visit a terminal without seeing one single point of sale terminal. In fact, there are money operator companies that focus on Pos terminal to aid business transactions now, you either with debit card or use lightning payment app by money operators, but this doesn't in anyway makes fiat better.

[JoyceBTC]

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 ?

Most countries are already into the cashless system because it more convenient and secured. I just feel with time the cash system will just automatically disappear, if they are less cash in circulation, since most people are not even comfortable walking or moving with cash because they find it inconvenient.
Developing countries are also practicing the cashless system now, and at this point I think where it is not in practice now or mostly used are rural areas or undeveloped countries where most people find it hard to do online transactions and also use basic technologies.

[junder]

Cashless economy will help reduce theft, but it will increase scam, cybercrime and financial data theft. The cashless payment system is not as perfect as many people mistakenly believe.

However, I tend to agree with you that the economy would be more sustainable if it combined digital system, cash and crypto. Relying on a single payment method is very risky because each of them has its own drawback. There is no perfect solution in every situation. So once a disruption occur and there is no backup option available, the economy will inevitably face serious disruption.

There will still be risks with this digital payment and you have said it, even though it is more practical but yes, there are definitely risks. This method is not fully guaranteed to be safe, or smooth, sometimes problems with the network or internet connection make digital payments unable to be made.
 
Lately, there have been many people who choose to use digital payments, this is evidenced by the number of people who prefer this method because it may be more practical too, but unfortunately not everyone uses this method.

[2stout]

If your economy is consumer based, then it would seem to be good as those who carry cash tend to spend less than those with credit cards.  However, if one's economy is consumer based then it's a house of cards that will eventually come down.  The other downside is the surveillance and data gathering and harvesting for sale, which the consumer does not get a cut of.

[abhiseshakana]

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 ?

Based in my experience  i think cashless very dangerous for individual who don't have good financial management, because cashless can make faster leakage of our pocket. On these digital era when impulsif consumption easily increase because payment friction almost gone and online advertising bombards our lives. Without pain of paying, spending control decreased. Actually one of causes of economic problems are advertisement, this word game contains many traps, discount, cashback, free shipping charges create illusion of saving which actually not required. Can you imagine AI, algorithm, advertising personalization, our data and our digital activity will make the invitation to buy difficult for us to refuse.

[Abdulzuruku01]

Cashless system is already becoming popular in developed countries. Most people do not even carry cash anymore. As long as they are concerned about their safety, they have good internet connection and good knowledge about internet safety, they are fine with the system. However, it is not perfect for the 3rd world countries like mine. We still do not have better internet connection in the village side. Even the mobile shows no Service while we are inside the house. This is not suitable to make the country cashless yet.

As for the bank and the government, there is nothing to worry about as long as you are paying tax. But if people are evading the tax, it will become a problem for them. I am afraid about the uneducated people and labours, who might find it difficult.

cashless policies is so much good for economic development due to the roles it plays to curb insecurities and reduce much of loose to business men, because it reduce robbery/kidnapping risk for traders, with cashless policies it will be easy for security agencies to track down criminals whenever they used bank account to collect ransoms. and it will also be easy for security agencies to track money laundry if system are well equipped. In cashless policies what needed to be working to make it efficient and faster is network, in a country that is free of insecurity is the work of cashless and well equipped.

[boyptc]

People deserves choices.

And having the cashless transactions or being in a cashless society is a choice that can be enforced by the government.

But as what we can see even without them, the communities who are optimistic about it can be used to cashless transactions because even without government intervention, it is still the people who will implement that.

[LGD2Business]

This is good for the government, everything is on record. It's not so good for small business owners because everything is on record. They can't evade taxes the way they want to. It's generally good for the public because everything is on record. Do you see what I'm getting at? This is all about taxation. The government can't collect taxes on unrecorded income. But if everything is on record, the government gets its share. Privacy and such aren't issues the government cares about. They want everything to be out in the open. They no longer print cash like they used to, so you can give them their share.

[programmer3666]

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 ?

I like cashless, I feel good with it. During the era of CBN policy to curb out old naira notes in Nigeria, at first it was not easy, people were confused, there was chaos. But as time went by, many people began to enjoy it because moving around constantly with cash has way high risk. Robbers, pickpockets, even fire, you can lose everything in seconds. And beside, we already operate a banking system of saving and withdrawing, so the aspect of hacking was not really an issue. To some extent, the Nigerian banking system has strict rules and security measures, so people felt safe. But I also agree that it should not be forced on everyone, some people still prefer to use cash, especially those in villages or older folks that don't understand technology.