Merits and Demerits of Cashless Economy

It would be more precise to say "Paperless economy" as it would be the correct term because the word 'cash' is sometimes used interchangeably for money kept either in digitized form or hard form.

Merits:

1. Record keeping is easy.
2. Accountability is easy.
3. Less prone to damage due to various environmental and handling factors.
4. Retention for a longer period of time.
5. Environmental impact is negligible as compared to the use of paper.

Demerits:

I would not call it to demerit because it is the area or opportunity for improvement. Due to rapid development in digitization, systems are getting more complex and thus more prone to malfunction/hacked. So, we need to regularly track the performance of the system in order to sustain for the future.

Merits:

* Track records.
* Reduction of corruption.
* Easily transfer money to anyone at any location.
* Save trees.

Demerits:
* More fraud.
* Illiterate people cannot understand the system.
* If there is any malfunction in the bank server cannot do the transaction.

Hi everyone'.

I am very grateful to share my opinion about cashless economy. Cashless economy means doing transaction without using paper means having no cash. So, here the merits and demerits of cashless economy are:.

Merits:
1. Cashless economy is very beneficial as we can do online transaction from anywhere in less time.

2. It also reduce cash robbery and corruption as being transactions are visible and transparent.

Demerits:

1. There is a risk of hacking of account as we know nowadays cyber robbery also increasing day by day.

2. Those who don't know how to use cashless money can feel difficulty to use.

The cashless economy better says it as digital Economy As we already know every coin has two faces.

So, this also has merits and demerits.

Merits :
1. Easy transfer of money from one corner of the country to other.
2. Reduces corruption.
3. Reduces cash robbery.
4. Saves trees as no use of paper.

Demerits:

1. Very difficult to understand for uneducated people.
2. Problem for network less prone areas.
3. Chances of a cyber attack on the account.
4. Bank server issues.

There are a lot of benefits of a cashless economy:

* It reduces the chance of theft & the problem of storage.
* Reduces black money in the market And fake currency by State and non-state actors.
* Better tax compliance and collection.
* Easy to control liquidity in the market.
* Reduces the cost of making currency.
* Environmental sustainable because most of the trees are being cut to make paper currency.
* Enhances habits of savings and investment.

Demerits:

* Cyber fraud like account hacking.
* Privacy issues.
* More vulnerable to international shocks.
* Lot of electricity required to make digital currency.
* Lots of pollution because of electricity production by conventional resources.
* Way forward -.
* Cyber security should be strengthened.
* Electricity from renewal resources.
* Technology improvement to make energy efficient currency.

In my opinion, the merits and demerits of cashless economy are -
Firstly, it save the time of the people while purchasing any products and services
But when it's came many people are not aware about digital payment mostly old people sometimes they give more instead of actual money and peoples use this as their benefits.

Everything has two sides, there's always a bad and good side of things With a Cashless economy the payments are simple and safe. A cashless economy decreases the rate of crimes such as theft, robbery Pickpocketing etc. If somehow anyone forgot their wallet at home, it ll be very for them to make use of UPI.

A cashless economy helps in the sustainability of the environment.

As such many people don't feel safe with the cashless economy as they have increased the number of cybercrimes, many peoples fool people by advertising about they have won the lottery and they just clear their bank accounts.

As we all know about two phases problem.

The first phase is about positives.

A cashless economy saves time, robbery, and pickpocketing.
Reduce paperwork.
Easy to handle.
Every store in one device.
It's helpful for to know past records.
It Reduces paper impact goes to saves trees.

The second phase is about Negatives.

Employment issue because when everyone uses one device on that note human use is less.
More electric use in digital payment.
When we use more internet is bad effects go on fly and other animals.
We know only 20% of birds are left as compared to before time.

First of all, Hi everyone.

I would like to speak on the topic of the cashless economy.

The question arises what is the cashless economy?

It is a mode of payment without using paper cash since every coin has two faces.

The merits of a cashless economy are.

1. Less time-consuming when compared to the usage of cash.

2. The chances of theft and pickpocketing reduce widely.

3. If we observe the previous condition during the corona pandemic most of the apps even local shopkeepers switched to online mode of transaction.

There are two sides of any coin same and there are two advantages and disadvantages of the cashless economy first I would like to my opinion on the positive side of the cashless payment digital payment system there are too many effective and time-consuming systems using that there is control many types of theft and crime people can easily pay in anywhere any time so they can save their time and utilise in a proper way also it will more helpful in the COVID time.

And there are some disadvantages also it will be digital payment and when the digital word comes there is most important internet and the internet not properly till now work in many villages so that their people no use that.

Also, it will be affecting to the high range so birds numbers are decreasing day by day so my opinion is it's useful but there are some advantages and disadvantages.