Stay tuned with CashEssentials news ! - beyond payments
By subscribing, you accept our Privacy Policy.
×
×

Why digital money hasn’t killed cash

Categories : Cash is trust
May 6, 2016
Tags : Demand, Electronic, North America, Store of value
Cash is facing increasing competition as a payment instrument from the likes of PayPal, Venmo, Square or Stripe. The paradox is that cash demand is increasing. But not for payments. Demand is driven essentially by its use as a store of value.
Guillaume Lepecq

Cash is facing increasing competition as a payment instrument from the likes of PayPal, Venmo, Square or Stripe. The paradox is that cash demand is increasing. But not for payments. Demand is driven essentially by its use as a store of value.

On average, an American carries thirty dollars in his/her wallet. But one in twenty Americans  save over $ 1,200 at home. And another $ 70 billion sit in bank vaults. According to research undertaken by the Federal Reserve in 2012, foreign demand for US currency represents 50% of the value. And this is likely increasing.

To read the original article, click here.

Related