Digital Currencies Part 4: Why Use Digital Cash?

Digital cash has distinct advantages.

There are many reasons to prefer digital cash over physical cash. Here are just a few.

Digital Cash is Easy to Use

One reason is convenience. Digital cash is as easy to use as any other form of money. As mentioned previously, digital cash can be stored on electronic devices. You can also keep it on a card with a magnetic strip, and even print it to paper. You can send it in email (we don’t recommend that) or save it to a USB drive.

Digital Cash is as Private as Physical Cash

Another reason to use digital cash is that it is more private than credit or debit cards. There is no way to keep a transaction history with the digital cash issued by our software. When your transaction is validated by the system, your wallet software encrypts all personally identifiable information before it sends that information to our system. Our validation system does not and can not know who you are. The validation system simply checks to ensure that the digital cash is real and that there is enough of it to complete the transaction. It does not have a way of knowing who is buying or who is selling.

Digital Cash can be Backed by Anything

Digital cash can represent anything. For example, you can issue a currency for your business and use it for your customer loyalty program. You give people some of your currency every time they make a purchase. Your currency would only be spendable at your business. So people who come to your business a lot can get good discounts. Our software makes it possible for any sized business to have a customer loyalty program.

Because digital cash can represent anything, you can issue a currency that contains certificates of ownership. What can the certificates give you ownership of? Well how about gold, or silver, or other commodities? Or the certificates could give you ownership of stocks, bonds, or other financial instruments. The points is that you can back your currency with anything of value.

Digital Cash can be Very Stable

The biggest factor in preferring digital cash over other forms of currency is that digital cash can be designed to never inflate. It can hold a reasonably constant value over your lifetime. So no matter what’s happening in the economy, your savings will not disappear due to inflation.


Digital forms of money enable anyone to create a currency. Their currency can be for business, as with customer loyalty programs, for solving social problems, or for many other purposes. But digital cash technology makes possible the issuance of stable, reliable, and convenient forms of money like no technology that has come before it.

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