1954 marked the beginning of the digital payments era, with the adoption of credit cards by banks. In this context, business technology researchers predicted the end of cashMoney in physical form such as banknotes and coins. More “within a decade”, a sentence we still hear today.
It is true that the number of competing technologies has increased in recent years, and that banknotes are no longer preferred in some countries, especially in Northern Europe. In a study led by the Federal Reserve in 2014, however, 30% of Americans declared preferring cash over other means of paymentA transfer of funds which discharges an obligation on the part of a payer vis-à-vis a payee. More. Unlike Sweden or Norway, 55% of small US businesses still do not accept credit cards as they cost merchants up to 4% per transaction. Mobile payments are arousing customer curiosity, but it seems to end there. Indeed, a study led by research firms PYMNTS and Infoscout regarding Apple Pay showed smart phone applications are good at attracting new customers (increase of 11% between 2015 and 2016), but that Americans rarely adopt it for future payments.
Finally, cash is often more than just a payment methodSee Payment instrument. More: it has sentimental value. It is highly unlikely that digital moneyFrom the Latin word moneta, nickname that was given by Romans to the goddess Juno because there was a minting workshop next to her temple. Money is any item that is generally accepted as payment for goods and services and repayment of debts, such as taxes, in a particular region, country or socio-economic context. Its onset dates back to the origins of humanity and its physical representation has taken on very varied forms until the appearance of metal coins. The banknote, a typical representati... More will replace the $20 bill hidden in a birthday card or the small coinA coin is a small, flat, round piece of metal alloy (or combination of metals) used primarily as legal tender. Issued by government, they are standardised in weight and composition and are produced at ‘mints’. More left under the pillow by the tooth fairy, hinting that cash is here to stay for far more than a decade.
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