Andrew Haldane said one solution would be for the Bank of England to issue a state-backed digital currency based on bitcoin. Supporting this initiative would be a negative interest rate levied on paper currency relative to the digital currency, with these measures do you think there is more possibilities that sometime:
Paper money will be banned entirely?
How long do you think that happens?
would it work?
What security and privacy risks would it raise?
And how would public and privately issued monies interact?
Paper money in the future will not be totally eliminated but there will be reduction in its usage.
Like in India, the country is not aiming for a "cashless society" but instead a "less cash" country.
The US is more on cards, most of their transactions are processed through cards.
Digital currency like bitcoin has it flaws like transaction charges, security and bank risk where your account is in.
Digital money might replace major cash-based transaction but not totally.