This episode explores the hidden economic and social value of physical currency, specifically focusing on the concept of seigniorage, which allows governments to generate revenue from the production of banknotes. The author, Frane Maroevic, Director General of International Currency Association, argues that while digital currencies offer modern efficiency, they lack the inherent privacy and resilience provided by tangible money. Unlike digital systems, cash functions without technological infrastructure or intermediaries, ensuring financial access for marginalized populations. Frane warns that moving toward a purely electronic system could lead to increased state surveillance and the loss of personal autonomy. Ultimately, it calls for a balanced approach to innovation that preserves the public benefits and individual freedoms traditionally upheld by cash.
Source: The State Makes Money From Money. What Happens When Cash Disappears?
Note: This podcast was developed using Google’s NotebookLM platform
