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6/25/2019

Topic Reading-Vol.2631-6/25/2019


Dear MEL Topic Readers,
Backlash grows against cashless society
Is cash still king?
In China, nearly 600 million people use mobile payment, such as Alipay and WeChat Pay that dominates over 90 percent of the market. In fact, the total number of transactions made via mobile payment platforms surged to 60 billion in 2018, up from 1.7 billion in 2013. People can buy mantou at a food stand, book a rideshare vehicle, make utility payments, or even pay a speeding fine. More and more people in large cities stop carrying their wallets when they go out.
In the US, six out of every 10 retail transactions were made in cash a decade ago but now it's only three in 10 transactions. More retailers prefer accepting only plastic or mobile payment to cash to save time and cost as well as to reduce the risk of robberies.
In Sweden, many banks abandoning handling cash as the Scandinavian country is moving towards a cashless society.
It seems that money control is shifting from banks to card issuers and mobile payment platformers. And this move gives convenience for both ends of the transaction. As a result, more retailers are accepting only non-cash payment. However, what about those who don’t have a plastic card, mobile phone, or bank account? Will they all be left out when no one accepts cash? To save such cash-dependent payers, some cities have past laws to require small retailers to accept cash for goods and some services, such as Philadelphia and San Francisco.
Cash used to be the most preferred payment method, but it is not any longer.
Enjoy reading the article and think about how you will make payments a decade from now.

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