Cashless Society_Finance Conference 26Aug2011

8/4/2019 Cashless Society_Finance Conference 26Aug2011

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Cashless Society

A FINANCIAL PARADIGM SHIFT THROUGH SOCIAL

NETWORKING

Author:

Manish Parihar

Faculty of Marketing

Saraswati Institute of Engineering & Management

Po. Rajpur, Dist. Mehsana 382740, India

Co-author:

Dr. Sarla Achuthan

Director

B.K. School of Business Management

Gujarat University, Ahmedabad

FINANCE CONFERENCE- 2011


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Contents

Objective

Introduction to cashless society

Type of research Review of literature

Findings and conclusions

profmanishparihar.blogspot.com


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The objective of this study is:

To explore prominent social media platformsand other online technologies that are beingused for the creation and use of virtualcurrencies



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Type of research

Exploratory and based on secondary dataonly



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Review of literature



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Introduction to

Cashless Society



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Cashless Society envisaged wayback in 1887 by Edward Bellamy



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A

re we there yet..?

Not yet.

But we might not be far..



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Introduced in the 1949s byDiners Club

Plastic Money



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Online Funds Transfer



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Pros & Cons of a cashless society



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Pros:

Clean wallet

Tax the underground economy

Exposure of corruptionEradicate counterfeiters

Promote business efficiencies



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Cons:

Assault on family privacy

Impulse buying

Hackers and security issuesBig brother is watching



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Introduction to social media



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Blogs

More than 20 crore blogs exist on theinternet..



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Wikipedia the open source onlineencyclopedia, has over 15 million articles.

More than 1700 new articles are added onWikipedia every hour!



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Surprisingly, 78%of these articlesare non-English.



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y YouTube has become the second largestsearch engine in the world after Google



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eBooks

y Kindle eBooks outsold paper books in2010



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Facebook

It took radio 38 years to reach 50 millionusers.

TV took 13 years; internet took 4 years,Apple iPod took 3 years to reach the samenumber of users.

But social networking leader, Facebook,added over 200 million users in less than ayear!



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Facebooks launch of virtual currency



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Second Lifes virtual currency:

The Linden Dollar



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Living a virtual life..



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There are more than 6500 profitablebusinesses in Second Life and newventures are cropping up all the time.

On just one day more than US$ 650 000(330 000) was spent by Second Liferesidents in 24 hours.



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Exchange, auction, buy/sell virtual goods

Helps reduce illicit trade in virtual goods Operates through users PayPal accounts

and takes a 10% cut

Currently its a $200 million market..!



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Bitcoin is a de-centralized digital currencycreated in 2009

Also called crypto-currency

Each bitcoin divisible upto 8 decimalplaces

1 bitcoin = 9.58 $ (as of today)



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As ofAugust 2011, there are over7.1 million bitcoins in existence.



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Other technologies on the horizon..



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Google Wallet



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Micro-chips embedded in body

A high profile club in Spain, implants micro-chips in its VIP memberprofmanishparihar.blogspot.com


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Bio-metric scanners

Bio-metric scanners for entry at an amusement park in USprofmanishparihar.blogspot.com


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Source: http://www.infowars.com/cashless_society.htmprofmanishparihar.blogspot.com


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Findings and conclusion



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Facebooks game credits and Second Lifes

Linden dollars are already a reality and millions

of dollars worth of transactions are being done in

the virtual world. Bitcoins are also in circulation though its wide-

spread use will take some time.

Newer technologies promise to change the

financial landscape



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Further Research

This paper is just an eye-opener to thefabulous world in which social media isfundamentally changing our lives.

A formal research into this area would bethe next logical step.



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Cashless Society_Finance Conference 26Aug2011

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Transcript of Cashless Society_Finance Conference 26Aug2011