Question

Are we headed for a cashless society?

1. Predictions of a cashless society have been around for decades.

2. E-money might be more convenient and efficient than a payments system based on paper.

3. Several factors work against the disappearance of the paper system.

4. The use of e-money will likely still increase in the future.

Money Supply,

in the 4 statements we have above, answer them here, Are we moving to a cashless society?

Answer 1

1. It is true that prediction of a cashless society has been around for decades and it is actually taking shape in the current period. Rapid development in technology and increase usage of smart phones among the general mass because of its affordability has made it possible for cashless transactions. Many secured payment gateways and online money transfer companies have mushroomed in the recent past.

2. E-money is definitely more convenient that carrying physical cash. However, this has also given rise to a different kind of theft i.e. online scams. Unsecured payment gateways or hacking through various means pose a challenge to the viability, popularity and security of online payment system. However, if all these factors are addressed, this is the most efficient and hassle free way of transaction.

3. They are definitely many factors which inhibit the transition from a cash based to a cashless society. The requirement of cashless transaction is some basic knowledge about mobile operations and internet. Moreover, a vast majority of people in developing nations work in unorganized sectors who are paid on a daily basis. A cashless medium does not serve their purpose.

4. The usage of e-money is likely to still increase as the future generations are quick to learn about the usage of smart phones and internet. They are a generation who doesn't need to make any transition inhabits. The advancement of technology and affordability will also makes it convenient to switch to the new ways. So, in future, we can expect the usage of e-money to increase.