Drumbeats for the cashless society

pmbug

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... and about that cash grab in India...
...
As noted above, on November 8, Prime Minister Modi declared the 1,000 rupee note and 500 rupee note to be illegal. In case those sound like high-denomination bills, they’re not. At current exchange rates, the 1,000 rupee note is worth about $14, and the 500 rupee note is worth $7; roughly equal to the $10 and $5 bills you probably have in your purse or wallet.

Citizens were allowed to bring these notes in and exchange them for smaller denominations, or a new 2,000 rupee note worth about $28.00. The problem was that the lines were horrendous and the economy shut down as millions waited in line to make the exchange.

The government compounded its incompetence by not printing enough of the new bills. Some banks closed because they quickly ran out of the new bills. Even worse, the new bills were a different size and did not fit in ATMs, so every ATM in India had to be shut down and recalibrated to handle the new sized bills.

A cash shortage in a cash-based economy meant that economic activity ground to a halt. Farmers and fisherman could not buy fuel or provisions needed to bring their crops or catch to market. Food shortages popped up; riots broke out in some places.

Finally, in a “guilty until proven innocent” twist, tax inspectors were waiting at the bank branches to interrogate those exchanging large amounts of the old notes. This dissuaded many from making the exchange in the first place.

A black market grew up in which you could exchange 1,000 rupee notes for, say, 700 rupees in smaller bills that were still legal. Those offering the exchange had political protection or paid bribes to avoid the tax scrutiny that came with the larger bills. This exchange is the ultimate market distortion — “cash” trading at a discount to face value because of government interference.
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More: https://dailyreckoning.com/elites-devastate-india/
 

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SAN FRANCISCO--(BUSINESS WIRE)--Jul. 12, 2017-- Today Visa (NYSE:V) announced it is launching a major effort to encourage businesses to go cashless. Aiming to create a culture where cash is no longer king, the program will give merchants increased ability to accept all forms of global digital payments. Visa will be encouraging and helping merchants go cashless by using innovation to their advantage in order to stay competitively connected to their customers.

To encourage businesses to go cashless, Visa is announcing The Visa Cashless Challenge, with a call to action for small business restaurants, cafés or food truck owners to describe what cashless means for them, their employees and customers. Visa will be awarding up to $500,000 to 50 eligible US-based small business food service owners who commit to joining the 100% cashless quest.

“At Visa, we believe you can be everywhere you want to be, and that it should be easy to pay and be paid in more ways than ever – whether it’s a phone, card, wearable or other device,” said Jack Forestell, head of global merchant solutions, Visa Inc. “With 70% of the world, or more than 5 billion people, connected via mobile device by 20201, we have an incredible opportunity to educate merchants and consumers alike on the effectiveness of going cashless.”

Benefits of Going Cashless

Visa has recognized the net benefits for merchants when they reduce dependency on cash transaction. Visa recently conducted a study that found that if businesses in 100 cities transitioned from cash to digital, their cities stand to experience net benefits of $312 billion per year. According to this study, in New York City alone, businesses could generate an additional $6.8 billion in revenue and save more than 186 million hours in labor, by making greater use of digital payments. This amounts to more than $5 billion annual costs savings for businesses in New York. The complete results with the benefits of going cashless for businesses will be included in the “Cashless Cities: Realizing the Benefits of Digital Payments” report that will be released by Visa later this year.
...
http://pressreleases.visa.com/phoenix.zhtml?c=215693&p=irol-newsarticlePR&ID=2285993

:(
 

singleshot

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... and just who reaps the rewards?

20201? Hell, that's over 18,000 years away!
 

pmbug

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Ha! The "1" at the end was a subscript in the original text. "by 2020".
 

11C1P

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Great! Now where are the call centers going to get moved to? It likely won't be the U.S. so what accent will I have to try and start understanding next? :flushed:
 

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Australia’s Black Economy Taskforce has come up with a list of 35 “consumer-focused” proposals to crack down on cash. The taskforce blames consumers for holding cash and for not getting receipts.

Michael Andrew, the head of the taskforce, proposes nanochips in $50 and $100 notes so the government knows where the cash is. Cash will expire after a designated period of time.

Andrew believes “consumers are part of the problem”. He wants to punish people who pay in cash and don’t get a receipt.
A plan to strip consumers of their legal protections if they pay in cash and fail to get a receipt has been slammed as “completely unfair” by leading advocacy groups.
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“We intend to examine the merits of consumer focused sanctions, including the loss of consumer protections, warranties and legal rights for people who make cash payments without obtaining a valid receipt,” Mr. Andrew wrote. “This is not simply of matter of imposing new penalties, but part of a wider cultural change agenda.”
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Also consider Cash Crackdown Boss Proposes Nanochips Notes.
The man charged with cracking down on the “black economy” has revealed how he would like to keep track of your $100 and $50 notes.

Hi-tech nano-chips would be implanted in Australia’s “disappearing” cash under a plan floated by Michael Andrew, the head of the federal government’s Black Economy Taskforce.
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“You could put a trace on some of these notes to see where they would go. You can use nano technology to put little chips in so you could then trace it.”
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The war on cash is moving at breakneck speed.
https://mishtalk.com/2017/08/02/war...ng-100-bills-forcing-people-to-keep-receipts/
 

rblong2us

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Should encourage more to explore crypto currencies .............

Sad how most accept the concept of tax without question and expecting someone else to 'do something' when their cosy little bubble is effected in some way.

Take back your power and take responsibility for your actions / inactions.
Dont need no damn government

grrrrrrrrrrr
 

rblong2us

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Great! Now where are the call centers going to get moved to? It likely won't be the U.S. so what accent will I have to try and start understanding next? :flushed:
artificial intelligence :flushed:
language and accent selected from the drop down menu :doodoo:
 

11C1P

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The NYT, a newspaper that supposedly is worthy of respect, calls for the gatekeepers of digital money to decide what people can and cannot buy. Does no one see the big picture?

https://www.nytimes.com/2018/02/19/business/banks-gun-sales.html
Funny how certain companies are required to perform services (like catering a wedding that goes against your religious views) while others are immune to this. Ah, but then it does say in the Constitution the right of gays to have any caterer they desire & be free from offense for life but nothing about not infringing on the peoples right to keep & bear arms. :judge:
 

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It is hard to argue that you cannot trust the government when the government isn’t really all that bad. This is the problem facing the small but growing number of Swedes anxious about their country’s rush to embrace a cash-free society.
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... In February, the head of Sweden’s central bank warned that Sweden could soon face a situation where all payments were controlled by private sector banks.

The Riksbank governor, Stefan Ingves, called for new legislation to secure public control over the payments system, arguing that being able to make and receive payments is a “collective good” like defence, the courts, or public statistics.

“Most citizens would feel uncomfortable to surrender these social functions to private companies,” he said.

“It should be obvious that Sweden’s preparedness would be weakened if, in a serious crisis or war, we had not decided in advance how households and companies would pay for fuel, supplies and other necessities.”

The central bank governor’s remarks are helping to bring other concerns about a cash-free society into the mainstream, says Björn Eriksson, 72, a former national police commissioner and the leader of a group called the Cash Rebellion, or Kontantupproret.
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But an opinion poll this month revealed unease among Swedes, with almost seven out of 10 saying they wanted to keep the option to use cash, while just 25% wanted a completely cashless society. MPs from left and right expressed concerns at a recent parliamentary hearing. Parliament is conducting a cross-party review of central bank legislation that will also investigate the issues surrounding cash.

The Pirate Party – which made its name in Sweden for its opposition to state and private sector surveillance – welcomes a higher political profile for these issues.

Look at Ireland, Christian Engström says, where abortion is illegal. It is much easier for authorities to identify Irish women who have had an abortion if the state can track all digital financial transactions, he says. And while Sweden’s government might be relatively benign, a quick look at Europe suggests there is no guarantee how things might develop in the future.

“If you have control of the servers belonging to Visa or MasterCard, you have control of Sweden,” Engström says.

“In the meantime, we will have to keep giving our money to the banks, and hope they don’t go bankrupt – or bananas.”
https://www.theguardian.com/world/2...sk-of-attack-swedes-turn-against-cashlessness

Bold emphasis is mine. Maybe there is hope that sanity will prevail.
 

rblong2us

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In the big cities there are fewer and fewer places that can even take cash.
Its all done with card or mobile phone, even for street vendors.
The need for a cash till has gone !
This also reduces the potential for robbery by staff or random drug addicts.

The days of taking a pile of cash to go and look at a secondhand vehicle, agreeing a price and driving it away, have gone, as we can now do a BACS transfer via the internet at the point of sale.

If you try to actually buy anything with cash over £1000, no one wants the stuff.
The banks charge business customers who pay in large sums of cash, over and above their already outrageous charges for a business account.
And everyone knows that the Banks notify the Revenue, so even if its entirely legit, it gets your name in the frame and if you are a regular user of cash, the possibility that the Revenue might investigate you ....... and even if you think you are all above board, they will find something ......

So apart from really small transactions and buying illegal substances from strangers, cash has rather fallen by the wayside for most ..........

Its actually become a problem to hold and use cash in Blighty
 

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One day the pendulum will swing back in the other direction. The only real question is whether the change will be orderly or chaotic.
 

rblong2us

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oh yeah and to make sure you dont hoard the stuff, they recall and change the banknotes ....

Im not sure cash will make a return even if the pendulum does swing because of its bulk and security risks.

A genuinely free and traceless crypto might step up to the plate though ?
 

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All over the western world banks are shutting down cash machines and branches. They are trying to push you into using their digital payments and digital banking infrastructure. ...
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A cashless society brings dangers. People without bank accounts will find themselves further marginalised, disenfranchised from the cash infrastructure that previously supported them. There are also poorly understood psychological implications about cash encouraging self-control while paying by card or a mobile phone can encourage spending. And a cashless society has major surveillance implications.

Despite this, we see an alignment between government and financial institutions. The Treasury recently held a public consultation on cash and digital payments in the new economy. It presented itself as attempting to strike a balance, noting that cash was still important. But years of subtle lobbying by the financial industry have clearly paid off. The call for evidence repeatedly notes the negative elements of cash – associating it with crime and tax evasion – but barely mentions the negative implications of digital payments.

The UK government has chosen to champion the digital financial services industry. This is irresponsible and disingenuous. We need to stop accepting stories about the cashless society and hyper-digital banking being “natural progress”. We must recognise every cash machine that is shut down as another step in financial institutions’ campaign to nudge you into their digital enclosures.
https://www.theguardian.com/comment...ss-society-con-big-finance-banks-closing-atms
 

pmbug

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So, over the weekend, a story broke that is a portend (warning) for things to come with the cashless society:

https://www.breitbart.com/tech/2018...d-donation-showdown-credits-breitbart-drudge/

Basically:

1. SPLC & Color of Change pressured MasterCard to cancel processing/account for David Horowitz's Freedom Center.

2. MasterCard told WorldPay it wouldn't process transactions for Freedom Center.

3. WorldPay canceled Freedom Center account (which also canceled ability to process VISA transactions).

It's a portend of things to come when the age of digital banking chokes out the last vestiges of the cash economy and monopoly control over transactions can be weaponized for political purposes.
 
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