According to a recent survey from the Deutsche Bank, the place of cryptocurrencies might be a little overestimated. Results from the survey suggest that an increase in the use of Bitcoin will do next to nothing, to relegate the use of cash.
The report mentions a few points in favor of Bitcoin. It says that by most estimations, Bitcoin is growing and will still “grow at light speed”. The report further uses “dinosaur” to describe cash, but still concludes that this light speed is not strong enough to actually displace cash.
The place of cash, no matter how pro-Bitcoin the world gets, cannot be easily dismissed. There are still too many people who are more comfortable with traditional systems a lot more than new technology such as Bitcoin. The report explains it saying:
“Cash will be a part of the economy for decades to come. Over centuries, people have developed a deep-rooted trust in paper and coins during uncertain times. Today is no different.”
As much as cash is a dinosaur, Deutsche bank says that 33% of US citizens say that it is their preferred payment method. Apart from that, 69% believe that a preference for cash will always remain. Basically, cash is a dinosaur but is not “doomed to extinction”.
The Deutsche Bank report also touches on mobile payments. It, however, did not specify whether or not mobile payments will exactly threaten the widespread use of cash. Based on the responses from the participants, mobile payments will skyrocket between 2020 and 2025. By then, it is expected that the number of mobile payments will swell by 400%.
Another important piece of the Deutsche Bank report is why the surveyed participants prefer cash. Even though cash offers a level of anonymity, it didn’t rank as one of the main reasons people prefer cash. The report says more than 40% believe that cash better helps speed up payments and also helps track spending.
The survey considered responses from people in the U.S., as well as China, Italy, the UK, France, and Germany.