6 November 2020
Money of the Future: From Your Back Pocket to Your Digital Wallet
The concept of money began centuries ago as humans traded and bartered for things they needed to survive and thrive. With the advent of cash, then credit and debit cards, and now digital money, society’s notion of money has transformed significantly.
The digital revolution is not a new concept in the financial industry, but its significance in breaking down barriers and paving the way for an interconnected world is easily overlooked. To help people understand how this transformation is driving the future of our society, our whitepaper explores the evolution of money in the digital world. Here’s a sneak peek.
How did money evolve from conceptual to physical to digital?
The idea of money dates back to our world’s first bartering system. But as humans progressed, bartering became more difficult as some items were seen as more valuable than others and assets were sometimes seasonal. For instance, an apple picker was at a disadvantage in the winter as his assets (apples) only prospered at certain times of the year.
The limitations around trading eventually led to the materialization of physical money. And from a silver token to the paper dollar we know now, money continues to facilitate social interaction and is seen as a necessity to survival.
The most recent transformation of money actually brings us back to its origins as an idea that connects people in a physical way. Digital money began in the form of gift cards and has transformed into the more advanced digital wallet we now know.
What are the benefits of digital money?
Through innovative fintech solutions, digital money has simplified outdated money processes and opened up opportunities to expand equality and support better standards of living for all. How? For consumers around the world, digital money is…
- Simple. Despite popular belief, you don’t have to be tech-savvy to use digital money. There is a range of online financial services available to people with all levels of tech knowledge.
- Secure. Safety is a top priority for all fintech companies – we know your money is one of your most critical assets. Plus, regulations require certain security measures to be in place to protect consumer funds.
- Safe. COVID-19 has changed many aspects of our lives, including how we handle money. The transfer of physical money from person to person may leave consumers vulnerable to illnesses. Digital money offers a clean and efficient way of handling money.
- Accessible. Waiting in long lines at banks is a thing of the past. Digital processes often work 24/7, which lets consumers manage their money how and when they want.
- Empowering. Digital money makes ownership of personal finances more accessible to people in social and financial situations who previously would not have had such an opportunity. All users need now is a computer or smartphone.
How do people use fintech solutions to manage digital money?
Globally, nearly 300 million people live remotely from their families and frequently send money home. The fintech industry has solutions that help users create and manage mobile banking options, contactless payments, online digital wallets, cryptocurrency and digital money transfers.
Paysend is an online money transfer platform that allows users to send money directly to a bank account or payment card from their smartphone or web browser.
Here at Paysend, it is our mission to help people of all technological backgrounds benefit from digital money. Click here to download our white paper, ‘From Gold to Bit. Evolution & education of money in the digital world’ to learn more.