Is Digital Cash Something To Fear? Essay -- Digital Cash Money Essays

Is Digital Cash Something To Fear?I. INTRODUCTIONIn todays society, interchange is right away becoming obsolete. The vast majority of transactions so-and-so this instant be completed without gold. If a mortal has direct deposit, they can now deposit their paycheck into their bank account. Using their home computer, that person can pay their monthly bank bills electronically by using a third-party bill paying system authorized by their bank. Credit cards, once speechless for major purchases, are now accepted at grocery stores, dissolute food restaurants, pay phones, and coffee shops. Debit cards are quickly replacing checks for many of our day-to-day purchases. There are quite a few transactions that cannot be completed with coin, including renting cars, many charge order purchases, and subscribing to an net service provider. In a typical day, cash is really only necessary for very small transactions, such as purchasing a morning paper, or buying a glaze over bar out of a vending machine. These micro-transactions1 do not represent a significant enough exchange of value to overlie the transactional costs of accepting reference work or debit cards. A person still needs to carry enough cash for these micro-transactions. Currently, the way to cast down cash is to personally go to an automatic teller machine (ATM) for a withdrawal. Digital cash,2 stored on smart cards3 or personal computers, promises to make micro-transactions possible in both the everyday origination and in cyberspace. II. IS DIGITAL CASH NECESSARY?The need for digital cash closely parallels the need for regular cash. Most people do not use regular cash to make major purchases. Carrying large amounts of cash can be very in mend. Carrying credit cards is more secure because, at least in th... ...urden on the bank to prove that a transaction was by the consumer. See Sandberg, supra note 3. 8 oppose the use of encryption technology in make a credit card purchase (see CyberCash, Six Steps of a Secure Internet Credit Card Payment (visited Oct. 5, 1977) <http//a.dn.cybercash.com/cybercash/shoppers/ stopsteps.html), with the use of encryption in making a digital cash purchase, (see DigiCash, An Introduction to Ecash (visited Oct. 5, 1977) <http//www.digicash.com/ecash/docs/ease/ease(g).html). 9 Of course, the consumer shelter laws will limit the consumers losses to $50. If the digital cash transmission was for a micro-transaction, a consumer would still prefer to lose 1 to $50. 10 Jim Miller, E-money mini-FAQ (release 2.0) (visited Oct. 5, 1977) <http//www.ex.ac.uk/RDavies/arian/ emoneyfaq.html. 11 Id. 12 Id.