Guillaume Lepecq

SoCash, a Singaporean startup that turns shops into virtual bank branches, via a mobile app, has raised $6 million in funding, led by cash automation company Glory, with the participation of venture capital funds.

The euro was introduced to the world in 1999, though the notes were launched in 2002. It is today the currency of the 343 million citizens of the euro area. It is the second largest reserve currency and the second most traded currency in the foreign exchange market. As of end 2018, with more than €1.2 trillion of banknotes and coins in circulation, the euro has surpassed the U.S. dollar.

The Dutch government is putting forward a package of measures to Parliament, aimed at fighting against money laundering. Two of these measures specifically target cash: banning cash payments above and scrapping the €500 note.

As Facebook publishes its white paper on Libra, the code-name for its future global digital currency, it is probably timely to reflect on the value of privacy and more particularly the value of privacy in payments.

Words have been turned into weapons in the war on cash and are used by the proponents of the elimination of cash to create a self-fulfilling narrative of the inevitable decline of cash.

France is following the lead set by monetary authorities and lawmakers in countries such as Sweden, the UK and the US to ensure the long term viability of the cash cycle.

China has been at the heart of payments innovation over the past decades leading some observers to boldly announce that cash is on its way out. But banknote demand is continuing to grow

In October 2017, the International Security Ligue became a partner of CashEssentials. Alf Göransson, Chairman of the International Security Ligue says, «It is high time for the industry to adopt a pro-active attitude towards the promotion of cash and support innovation within the cash cycle.»

The Governor of French Central Bank warned against the risks associated with payments innovation.

Idea bank of Poland expanded its fleet of cars fitted with ATMs from 4 to 18. The electric BMW i3s with cash-in, cash-out ATMs, can be ordered by smartphone. The service is particularly aimed at enterpreneurs and business owners who normally use cash deposit services, often after dark.

Coins play an important role in donations to charities.

Demonetisation has not fought, but has largely strengthened the informal economy. It has also probably further marginalised those without supportive networks. With cashless policies flourishing in various parts of the world, these findings have major implications, seriously questioning their merit, especially among the most marginalised segments of the population.

The Danish Central Bank has conducted a survey of the payment behaviour of Danish households in the Spring of 2017. The findings were published in December in 2017. The report concludes that while cash usage is declining and is expected to continue to do so in the future, Denmark is not becoming cashless and Danes will be able to use and hold cash in the future.

The paper attempts to reconcile the apparent contradiction between growing cash in circulation on the one hand and the decling relative share of payments made in cash on the other.

ESTA, the Association of Cash Management Companies, has responded to the EU public consultation on Cash Payment Limitations and concludes that cash payment limitations would contribute very little to the fight against terrorism. This is probably why none of the relevant counter-terrorism organisations, at national or international levels are proposing such measures.

The European Commission (EC) is asking for comments on a proposal for a Europe-wide Initiative on restrictions on payments in cash. ATMIA believes such limitations are against the public Interest; the interests of Europe economically; and the interests of the ATM industry.

The new ATMIA study on the role cash plays in financial inclusion “Access to Cash: the First Step toward Financial Inclusion” presents an international picture of the importance of cash and ATMs in reaching 2 billion financially excluded persons “As cash is the only form of payment devoid of any prerequisite conditions for access, efforts to liberate people from financial inclusion should, instead, encourage its use,” the paper states.