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A $500 billion pot of gold: How Boston Consulting and Google pushed Modi to end the era of cash

“We expect the digital payments space to witness significant disruption in the days ahead.” "The disruption came on November 8, when Prime Minister Modi decreed that most of the cash notes by value were no longer legal means of payment. By itself, the remark about the “disruption in the days ahead” might be considered suggestive but weak evidence that BCG and Google knew something of those plans. However, combine this with the fact that they forecast a tenfold increase of digital payments and of the merchant acceptance network by 2020 without giving any real compelling reason why such an unlikely development should come to pass. In fact, the report is pretty heavy on reasons why it will be difficult to get many more merchants on board and says that the acceptance network has more or less stagnated in recent years. From stagnant, the growth rate has to jump to at least 60 percent per year (if you want to start 2015, more if the baseline is 2016) to make the forecast of a tenfold increase by 2020 come true. The only real reason given in the report for the expected stellar increase is mobile payment apps becoming available. This is not a very convincing reason for a large jump in the growth rate, as these apps have been around for a number of years already."

Who’s Fighting The War Against Cash?

Mastercard, Visa, and Bill Gates are all pushing for polices to make it harder to use cash, hoping to keep closer tabs on the population through the trail of electronic transactions. Here Norbert Haring speaks with Real News about the implications to the world and our future of the mostly US's combatants' war on cash, including the so called "Better Than Cash Alliance" including their involvement with India's demonetization.

US involvement in India demonetization - Big US companies behind the Indian "cashless cities " movement.

One worry I have though is, what happens if there is a strong solar storm, which could wipe out the energy grid and also, telecommunications for some time. (possibly years, as transformers that carry electricity are expensive, manufacturing capacity is limited, and they are difficult to replace) Another risk is multiple nuclear meltdowns due to loss of the ultimate heatsink. Cashless could mean no way to purchase food for an extended period of time.