Payment cards under state control – is this the end of the cash?

In fresh years, more and more countries have introduced technologies and regulations aimed at Control real-time financial transactions. In Poland and worldwide, digital payment methods specified as credit cards or mobile applications, gaining popularity, and cash It is becoming a little common means of payment. The related question, which is gaining importance, is: Should the State have full control over payments made through payment cards? In this article, we will look at the latest trends and proposals that may influence the way we manage our finances.

Change in consumer preferences: cash or cards?

Poles, like the people of many another countries, are increasingly giving up conventional cash for the benefit of non-cash payments. According to the National Bank of Poland data, in 2023 81% of all transactions In Poland, there was no cash, which represents a crucial increase compared to erstwhile years. There are many reasons why Poles increasingly usage payment cards and another forms of electronic payment – convenience, velocity and safety of transactions.

At the same time, due to technological developments and the widespread usage of digital tools, fresh questions arise concerning privacy and security transactions. Many people fear that the introduction of central control over banking transactions and payment cards can lead to loss of anonymity.

State function in the supervision of transactions

In Poland and in another countries of the European Union, regulations concerning security of non-cash transactions They've become more stringent. According to the law on the prevention of money laundering and terrorist financing of 2020, financial institutions are required to study suspicious transactions and identify people making large payments. In addition, introduced PSD2 standard (Payment Services Directive) requires banks and financial firms to apply multi-step identity verification the user, which aims to increase the safety of electronic transactions.

However, there are more and more proposals to let you control and monitor all payments by means of payment cards. This may include introduction of mandatory tracking of each transaction to combat financial crime, taxation avoidance and the fight against illegal markets.

Potential consequences of full state control

If the government had decided full control over payment cardsThis could mean major changes in the financial market. Among the main concerns arise issues privacy, loss of anonymity and increased surveillance over citizens.

The introduction of a strategy to monitor each transaction could reduce Financial freedom Citizens. On the another hand, specified control could let faster detection of illegal activities specified as money laundering, Financing terrorism Or taxation evasion. In this case State benefits would be obvious, but not without the hazard of abuse of citizens' privacy.

What are government plans for payment control?

In many countries, including Poland, fresh regulations have been proposed in relation to monitoring card payments. In 2024 Poland announced fresh changes concerning fight against the grey zone. According to these proposals, any transaction worth over PLN 10,000 could be reported to central database to prevent illegal financial activities.

In addition, within tax reform The government is expected to introduce automatic transaction monitoring systemswhich will cover all payments by cards, online transfers and mobile transactions. The aim of specified regulation is to Anti-tax evasion and guarantee full transparency of the financial market.

Is this the end of the cash?

The improvement of financial technologies and the increasing popularity of non-cash payments inevitably lead to the question whether cash will be completely eliminated from circulation in Poland. Although cash inactive takes place in everyday life, its function is decreasing from year to year.

According to NBP data, in 2023 only about 19% of transactions In Poland, it was done with cash. Over the next 10 years, this figure may fall below 10% and cash can be withdrawn from the general circulation. It is worth noting that any countries, specified as Sweden, they have already begun withdrawing cash on a large scale, and in any places in Poland already appear ATM availability problems.

What are the social reactions?

Although the convenience of card payments and mobile transfers is unquestionable, any citizens fear that full control of payments can lead to restrictions on civilian liberties. On the another hand, the introduction of fresh regulations could improve financial security and reduce the number of crime-related cash flows.

Social responses to specified changes may vary, and many citizens will surely argue the complete withdrawal of cash, fearing State interference in their private lives.