Mobile Phones Are Replacing Notes and Coins
The cash initiative wants to anchor cash supply in the constitution – but in practice, usage is sharply declining
The Swiss have an intimate relationship with their coins and banknotes. This is reflected in the affectionate nicknames they give them. The five-franc coin is called the Schnägg, the 100-franc note Giacometti, and the 1,000-franc note Ameisi, inspired by the motif of an earlier banknote series. In early March, the population will even vote on a popular initiative that aims to enshrine access to cash in the federal constitution.
However, when it comes to everyday payment behavior, the Swiss are increasingly abandoning cash. The most commonly used payment method is now the mobile phone. Already, 31 percent of all transactions are made via mobile devices. In 2019, this share was just 3 percent. Conversely, the share of cash payments has halved, shrinking from 48 percent in 2019 to 24 percent today (see chart).
“The rapid spread of mobile payments has made Switzerland one of the European frontrunners,” says Tobias Trütsch of the University of St. Gallen. Together with Marcel Stadelmann of the Zurich University of Applied Sciences, the economist publishes the Swiss Payment Monitor, which analyzes payment behavior twice a year based on representative surveys and diary studies.
The Phone Is Always With You
These shares include both in-store purchases and online shopping, although the latter carries less weight overall. In physical stores, cash still narrowly leads with a 28 percent share, followed closely by debit cards, which are linked to bank accounts. Mobile payments, however, already account for a respectable 25 percent of in-store transactions.
“For many people today, it’s no longer a problem to leave the house without a wallet,” says Trütsch. “Without a smartphone, on the other hand, they’re completely lost.”
The advantage of the phone lies in the fact that it combines many different functions in one device. First, there are classic payment apps, with Twint clearly dominating the Swiss market. “That the banks launched their own brand with Twint was a smart move,” emphasizes Trütsch. Twint now has over six million users and records more than 800 million transactions per year.
Mobile payments also include digital wallets such as Apple Pay or Google Pay, usually linked to a credit or debit card. Mobile banking apps for transfers have long been established as well and are gaining importance with the recent launch of instant payments, which allow real-time transfers. In addition, consumers increasingly use retail apps from individual providers, the most well-known being the SBB app for purchasing train tickets.
The dominance of mobile payments in online shopping is overwhelming. Since 2019, their share of transactions has surged from 15 percent to over 70 percent. Twint once again achieves an impressive presence with a 40 percent share, explains Trütsch: “The advantage is convenience. If I’m sitting on the sofa ordering a sweater, I don’t need to enter additional information—just a few clicks are enough.”
In contrast, credit cards have lost market share. According to Trütsch, competition from Twint has helped promote click-to-pay solutions, where necessary data is stored online. “Switzerland keeps up well with innovation,” says the payment expert. “The downside, however, is that the providers involved charge their own fees—primarily at the expense of merchants.”
Traditional invoicing has retained its place, especially for larger amounts, accounting for about 15 percent of online shopping. Since it is now sufficient to scan a QR code to pay, this method has also become more convenient.
Trütsch expects the advance of mobile payments to slow down, but cash to continue losing relevance. Around 1,000 ATMs have disappeared in the past five years. Accordingly, nearly half the population says access to cash has worsened. Nevertheless, a large majority—85 percent—remain satisfied overall with accessibility. Additionally, seven out of ten people say they did not experience a situation in the past year where paying with cash was refused.
71 Percent Against Abolition
In view of the upcoming vote on the cash initiative, the Swiss Payment Monitor finds that banknotes and coins continue to enjoy great sympathy among the population. Seventy-one percent of respondents oppose the abolition of cash. Three years ago, only six out of ten shared this view.
Martin Brown, adjunct professor at the University of St. Gallen, also observes that the vast majority trust cash as a payment method in emergencies. “That’s understandable, since most people have already experienced technical disruptions in payments.” Eight out of ten people still carry cash—even if they use it only sporadically in everyday life.
Only one in four purchases in Switzerland is now paid for in cash.
Now the gloves come off: the op-ed
71 Percent Is Not Enough. Anything Less Than 100% Is Dangerous.
Switzerland loves its cash.
We nickname it. We romanticize it. We vote to “protect” it.
And then we quietly stop using it.
Only one in four purchases is paid in cash now.
Meanwhile, one-third of all transactions already depend on a smartphone—a fragile slab of glass, lithium, software updates, server farms, payment gateways, and uninterrupted electricity.
This is not progress.
This is a single point of failure disguised as convenience.
Let’s be very clear: 71 percent opposing the abolition of cash is not reassuring.
It is terrifying.
Because what it really means is this:
Nearly one in three people is fine with eliminating the only payment system that still works when everything else breaks.
And things do break.
Cash Works When Reality Interferes
We live in an age of:
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Internet outages
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Power failures (weather-related and accidental)
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Cyberattacks on payment systems
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Software bugs and failed updates
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Overloaded mobile networks
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Payment providers going down “temporarily”
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Retail apps freezing at checkout
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Banks blocking accounts “for security reasons”
And that’s before we even get to climate disruption.
Heatwaves knock out infrastructure.
Storms flood substations.
Cold snaps kill batteries.
Extreme weather doesn’t care about your Twint balance.
Cash does not need a signal.
Cash does not need a server.
Cash does not need permission.
“I Just Leave My Wallet at Home”
This is not clever.
This is reckless.
The article casually quotes:
“For many people today, it’s no longer a problem to leave the house without a wallet.”
No.
It’s only not a problem yet.
Walking around without the amount of money you just spent via contactless payment is pure negligence. If your phone dies, your account freezes, or the system hiccups, you are instantly helpless. No fallback. No autonomy. No dignity.
You are not “cashless.”
You are dependency-rich and resilience-poor.
Digital Payments Are Not Neutral
Every mobile payment:
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Generates data
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Tracks behavior
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Routes through private companies
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Comes with fees (paid by merchants, then by you)
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Can be blocked, reversed, flagged, or denied
Cash is the last non-surveilled, offline, peer-to-peer payment system ordinary people have.
And yes, criminals use cash.
Criminals also use phones, cars, kitchens, and electricity.
That argument is lazy—and dangerous.
Constitutional Protection Is the Bare Minimum
Writing access to cash into the constitution is not nostalgia.
It is disaster preparedness.
It is consumer protection.
It is civil resilience.
It is acknowledging that systems fail—and humans need backups.
But protection on paper means nothing if:
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ATMs disappear
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Shops “politely” discourage cash
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Young people never learn to use it
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People stop carrying it “just in case”
A society that likes cash but doesn’t use it will lose it.
The Bottom Line
If you:
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Depend entirely on your phone to pay
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Don’t carry emergency cash
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Think outages are “rare edge cases”
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Trust private payment apps more than physical money
You are not modern.
You are exposed.
Cash is not the past.
Cash is the fail-safe.
And in an age of cascading crises, fail-safes are not optional.
Anything less than 100% commitment to preserving cash—in law and in daily life—is an open invitation to chaos.
Carry cash.
Use it.
Normalize it.
Before the system reminds you why it mattered.
yours truly,
Adaptation-Guide

