Here’s a riddle: I was invented more than 1,000 years ago. I can be germier than a toilet seat. At lea
st two countries are trying to get rid of me forever.
What am I?
Paper money!
For centuries, people around the world have used paper money and coins—cash, in other words—to
buy stuff. But now, technology has made it possible to get just about anything you want without ever
touching a dollar, quarter, or nickel. We can shop online and in stores with credit cards and debit car
ds and apps on our phones.
“Within 10 years, cash will seem old-
fashioned,” predicts Susan Crawford, a technology expert at Harvard University.
Indeed, Amazon, Shake Shack, and Starbucks are among the many businesses experimenting with
going cashless. Even entire countries, like Sweden and South Korea, are getting rid of cash.
But the cashless trend has sparked a debate. While it offers many exciting opportunities, getting rid
of cash has some serious drawbacks too.
“Within 10 years, cash will seem old-fashioned,” predicts Susan Crawford.
A Hassle
Paper money was invented in China in the 7th century. At the time, it offered revolutionary convenie
nce. Instead of lugging around heavy gold coins or something to trade—a fur pelt, say, or a few chic
kens—all you needed were a few lightweight slips of paper.
Today, however, cash can seem like a hassle. Standing in line counting out bills and coins can take f
orever. Why bother when you could snag that burrito with the tap of a finger? And if you lose your ca
sh? It’s probably gone forever. With digital transactions, money is better protected. No wonder nearly
half of Americans would rather use apps than cash.*
Moreover, producing money takes a lot of, well, money. Right now, about 45 billion bills are in use in
the U.S. Over time, they get damaged and must be replaced. Last year, the U.S. set aside nearly $9
00 million for printing new currency. Doesn’t that seem like a waste?
Risky and Expensive
No trees are cut down to make our money. That’s because paper money isn’t actually paper. It’s
made of cotton and linen.
Maybe not. Along with the positives of going cash-
free, there are also some negatives. First of all, things could get more expensive. Why? Each time y
ou buy something with an app or a credit card, the store gets charged a fee. To make up for that fee,
stores often raise prices.
What’s more, without cash, we’d have to rely entirely on technology to buy things. What if a storm kn
ocks out the power for days? Without cash on hand, you’d have no way to purchase anything. Plus, t
he more we rely on digital transactions, the greater the risk of having our personal information stolen
or used in ways we might not like.
Another problem is that as more businesses stop accepting cash, a lot of people could be left out. A
bout 7.4 million people in the U.S. use only cash and don’t have bank accounts.
(One reason is that some banks charge fees if you don’t keep a minimum amount in your account, a
nd not everyone can afford that.) And nearly 20 percent of adults don’t own a smartphone. What wou
ld they do if cash were no longer an option?
Here’s another drawback: the temptation to overspend. Something about handing over physical bills
just seems more real than tapping a screen. When paying with cash, you might be more likely to thin
k twice about that new $35 phone case.
Then again, cash is kind of gross. A 2017 study of dollar bills in New York City found hundreds of diff
erent kinds of germs on the money. Do we really want to carry that around in our bags and pockets?
(Of course, you can just wash your hands after touching it.) So what do you think? Is it time for cash
to go the way of the dinosaur?