Mastercard: Use of Cash Reduced Significantly Due to Pandemic

According to this analysis, in Mexico, six out of 10 citizens reduced the use of bills or coins by at least 11%.

Chile was the country where the use of cash decreased the most with 17%, followed by Peru and Puerto Rico, which had a decrease of 14%, according to specialized digital media citing the Mastercard study.

The questionnaire or survey of the international financial operator did not include Venezuela, where the use of cash was also greatly reduced, due to the shortage of banknotes and the significant devaluation of the currency, along with the economic effects of the Covid-19 pandemic.

Electronic sales and purchases have been the preferred way of obtaining goods and services

The situation also led to some 40 million Latin Americans opening bank accounts and more than 50 million making, for the first time, an electronic or online purchase.

The study did not refer to the level of use of cryptocurrencies in electronic purchases, but in Latin America almost 50,000 million dollars in cryptocurrencies were traded, at least until last September.

Imminent demise of fiat money

In early December, another Deutsche Bank study did examine the outlook for crypto securities and indicated that by 2030, cryptocurrencies would move to replace cash, most likely.

The research, conducted by analyst Jim Reid, titled Imagine 2030, consists of 84 pages on 24 alternative ideas for the next few years. According to the expert, the new class of assets that lead cryptocurrencies will prosper in the next decade, which makes the disappearance of fiat money imminent.

Deutsche Bank foresees an increase in the number of blockchain wallet users, which will go from about 75 million to 200 million by the aforementioned year 2030.

G. Febres

With information from Mastercard, Deutsche Bank, Banca y Negocios, Morocotacoin and social networks