The Consequences of Anonymous Access to the Financial Payments System

Rapid advances in technology have conferred vast benefits upon modern societies. Money can be transferred by wire in an instant. The internet has dispensed with the need to send faxes across telephone wires. The days when it was necessary to carry multiple currencies across the international borders have all but disappeared. The day is fast approaching when societies will be cashless and people will be able to carry so‐called smart cards that contain all of their funds in the form of electronic cash. Smart cards have the technical ability to facilitate transfers of electronic cash from one smart card to another. Electronic cash can be used to shop on the internet and even gamble there. The shares of a company can be bought and sold on multiple stock exchanges through electronic cash transactions. When a London stock exchange is closed, for example, a person in the UK might transmit electronic cash to New York and buy publicly traded shares because the stock exchanges in New York will be open. If a citizen of one country loses faith in the national currency, he might use an electronic cash transaction to convert his assets into the stronger currency of another country in a foreign bank account. The examples of how modern technology will continue to benefit us are numerous.