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Insights and Expertise

For millions, the phrase "no cash
accepted" signifies more than
inconvenience; it represents
exclusion from essential services
and economic participation.

A 2018 study found that cash users were 82% better
at recalling the cost of items compared to credit card
users. Individuals tend to spend more mindfully when
using physical currency, leading to improved budget
management and financial decision-making.

The physical act of handling cash and seeing it
diminish as you spend can serve as a visual reminder
of your budget limits (see https://bit.ly/3YLp174).

In an age fraught with cybersecurity threats and
data breaches, the inherent security of cash cannot
be overstated. Unlike digital transactions, which are
vulnerable to hacking and online theft, cash offers
unparalleled anonymity and independence. Its
reliability shines particularly during emergencies,
such as power outages, where it may be the only viable
payment option available.
Fostering a balanced payment system

Ultimately, the future of payments lies in fostering
a balanced ecosystem that accommodates both cash
and digital alternatives. Cash's tangible presence
and universal acceptance make it an indispensable
component of our economy. By embracing this diversity
in payment methods, we can create a more equitable
and accessible financial future for all.

As we progress further into the digital age, cash retains
its importance. As a payment method, it is resilient,
accessible and secure. It also represents inclusivity,
offering support to those excluded by digital means.
Understanding the enduring significance of cash is not
merely a matter of preference, but a commitment to
fostering a balanced, inclusive and resilient financial
ecosystem for everyone.

Jim Petit, executive leader for the Giesecke+Devrient (G+D) Currency
Management Solutions division in the United States, has extensive
experience in financial solutions across the payments landscape, in
financial solutions and services. Contact him on LinkedIn at linke-
din.com/in/jamespetit.

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