Why does “cash” have a bad image ? and does the rational really make sense ?
I believe there is no simple answer.
In my view, one needs to consider the following aspects of cash,
Why does “Cash” a bad image ? (Video)
* Technology; is this really a tech problem ?
I think yes, cash is costly to mint, maintain and distribute. Tracking is a controversial need, but relevant when done ethically. People consider #CBDC as a crypto currency, but it is a central bank regulated and controlled currency, and is fundamentally the new “cash”. #crypto(unregulated) and #stablecoins are on the other side of the segment, but still very relevant solutions that are challenging the traditional central banks way of thinking.
* Needs; Is cash a problem for everyone ?
May be not, the “needs” are very diversified across the economy. A major part of the economy is excluded from the financial infrastructure, and is highly dependent on cash. A diversified set of needs will require a diversified set of solutions, and cash absolutely has a place here.
* Future ; How would we like the future to be ?
I believe we should see it as “inclusive” amongst other things, so building for all segments of the economy and not just the privileged minority. All this while also being sustainable for the environment.
Cash will “upgrade” but it will still be around.
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