Electronic Cash: Advantages, Disadvantages, and Forms

Running head: 1
Name
Degree
Institution

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Abstract
The electronic, also known as digital cash is a mode of changing the physical money into an
electronic payment by use smart cards instead of carrying coins and notes. The electronic cash is
downloaded into smart card. The smart cards carry out the transaction with anybody on the
planet having the money in soft form.

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A few years ago, people used to go to financial institutions such as banks to either
deposit or withdraw cash and stand in line to do so (Prina,2015, p.115). Today thing has
a change in a way that you don't have to be at the bank to access banking services. The
banks have come up with electronic cash method that stores the financial value of your
bank’s account electronically on the computer of your bank. You can access your money
without having to go through the counter by downloading your cash into your hard drives
such smart cards that act as your virtual bank account.
The Online Form of E-cash
The technology uses the internet, computers, Local Area network for the transfer of
money for services and services (comer,2018, p.0). This aids one to carry out Internet shopping
and go in a business done through the Internet, while still in his/her house or office from
anyplace in the globe. This method involves three entities: the purchaser, the seller, and the
service provider. Inside the Internet, local area networks regulate the flow of digital cash
between the bodies or the bank accounts of the same person. It enables one to send money from
one part of the world to the other within a flash of a second.
The Offline Form of E-cash
In offline methods, we use smart cards such as Debit and credit cards that are feed with
electronically the monetary value of your bank account and are updated every time you transact
(Kwan, 2014, p.0). Through these cards, you can do all bank operations such as withdrawal,