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Bitcash

BitCash in developing countries

Some people’s first encounter with a foreign currency is when they go on holiday and some of the most affordable places have some quirky currencies.

Take Thailand for example, their cash is so large that it barely fits in a wallet (probably more king portrait real estate) and their largest note is $32.77 while their smallest note is $0.66 before coins which go all the way down to $0.0082. They have 5 different denominations and they are colored.

Now compare this to Vietnam which who’s largest note is only $21.50 and smallest is $0.00086. Of the 11 different denominations they have 2 different types of notes, polymer (7) and paper (4). Their notes however are not as wide as Thai money but if you are a big spender you will end up with a thick wallet due to the volume of notes which require constant organization.

In Thailand cash is far more dominant than plastic simply because debit cards are not free and cash is easy enough to keep organised, calculate and store but in Vietnam payment technology like contactless (samsung pay) or debit cards are more often used because it takes far more time to fish out the right notes, count it for errors, then the cashier has to count it too then find change. Even putting change back in your wallet requires you to stop, find the right section and place all the notes in the right spot just to keep your cash efficiently organised and decrease the time it takes to pay without making errors.

This brings me to my interesting observation. The utility value of bitcash is greater in Vietnam for practical reasons therefore more places accept it, which leads to more companies being based there, more ATMs (or BTMs as they call them) with smaller commissions versus Thailand where if bitcash were outlawed barely anyone would notice.

I predict you can work out which countries in the world will adopt bitcash by just studying how cumbersome the local cash is along with how likely a citizen is to install an app on their phone.

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