Why The Idea Of A 'Cashless Society' Is So Dangerous

LOADING ERROR LOADING The idea of a cashless society is not a new one. “Despite the many valid concerns about the security of digital payments, they are intrinsically more secure than cash,” said Vinay Prabhakar, vice president of product marketing at Volante Technologies, a global financial technology company. “Although the potential law enforcement benefits of a cashless environment are real, it is also important to understand how the constant tracking of transactions gives financial institutions and banks surveillance capabilities that have far-reaching consequences,” said Ray Walsh, a data privacy expert at ProPrivacy. “This serves as a warning for other countries, including the West, where it is possible that similar actions could be taken to crack down on any transactions considered discordant to the authority of the state.” Lack Of Access For The Unbanked “We may be a cashless society in the future, but today, there are still many people who are unable to make digital payments because they don’t have a bank account, credit card, debit card or smartphone,” Rebell said. “When new payment methods get introduced ― like credit cards, debit cards and mobile payments ― they tend to work alongside cash, not replace it.” Even major public transit projects like New York City accepting contactless cards and mobile payments involve maintaining a way for people to continue to use cash if they can’t or won’t switch to paying with a card or phone, he noted.