Physical wallets are steadily going out of style as cashless payment methods become more established and secure. From mobile banking to cryptocurrencies and blockchain, we look at what new payment technology means for business – and where the future of digital money is headed.
By Jessica Mudditt
The rise and rise of digital payments
Businesses are responding to a strong preference among Australian consumers for cashless payments, and technology is expanding the number of convenient and secure payment options.
Nowadays, only one in five Australians prefers to pay with cash, and 90 per cent of businesses accept e-payments such as smartphone wallets, according to the Australian Taxation Office (ATO).
Those aged under 35 carry less than half as much cash as those over 65, the ATO has found.
Disruptors such as Zip Co and Afterpay are democratising the concept of real-time credit in-store, and are most popular among older millennials in their early 30s.
The most significant of the new technologies is the New Payments Platform (NPP), which provides real-time payments between customers of different banks.
However, some businesses are dragging their heels in adopting cashless payments – for some it’s a way of side-stepping tax.
Learn more about the future of digital money at CPA Congress 2019