Switzerland enshrines cash in constitution; franc hits highs

Switzerland enshrines cash in constitution; franc hits highs

Switzerland has written physical currency into its Constitution. The measure passed a referendum with 73.6% public support, pushing the Swiss franc to historic highs against the euro. The text guarantees cash "under any circumstance and against future attempts to eliminate it." Meanwhile, the European Central Bank promotes the digital euro, while cash remains king in Germany and the 500-euro note is out of circulation in Spain.

The lingering question is simple: will Europe abolish cash? Analysts suggest not an outright yes or no, but rather "a feigned attempt trinc by retreat." The underlying argument is that populations in certain countries are too attached to physical money to accept its disappearance.

The Swiss franc and antiestéticar of digital money

The Swiss move is more than symbolic. The franc reached all-time highs against the euro after the constitutional protection of cash, an effect attributed to this measure combined with the country's historical neutrality amid global conflicts. The vote was a referendum with an overwhelming result: 73.6% in favor.

Some interpret the timing cynically. They note that shortly before potential economic turmoil linked to Iran and oil prices, the only major non-Eurozone country hosting significant European banking activity made this move. "Coincidence," they mock. Others respond that it is simply democracy and first-world governance.

Switzerland had previously signaled its stance. When Frankfurt pressured the Swiss National Bank to withdraw the 1,000-franc note citing terrorism and tax evasion, the response was firm. That issue is now definitively resolved.

Why Germany remains the capital of cash

Germany is the other major front. Reports indicate that cash usage curbs the rise of digital payments there, where people strongly prefer carrying wallets and paying in cash. This is not a stereotype; it is a real counterweight to the digital euro agenda.

The contrast with Spain is stark. Here, the 500-euro note was removed from circulation this year, while Switzerland replaces withdrawn 1,000-franc notes. In the US, plans for a digital dollar remain on hold. Sweden and Norway, early adopters of mandatory card payments, recently reversed course: cash is accepted again, and citizens are advised to keep some physical money at home.

This Nordic shift is the most cited data point. The prevailing thesis is that digital money is another political deception, imposing conditions on how, when, and what can be spent. Conversely, cash is defended as pure freedom: using your money without external control.

ATMs that don't dispense 100-euro notes

Daily realities tell another story. BBVA informed clients that withdrawing 100-euro notes is impossible at their ATMs. A bank response on social media confirmed suspicions: machines only dispense 50, 20, and sometimes 10-euro notes. Five-euro coins appear only as change.

Practically, the daily limit is the 50-euro note. Despite the convenience of 100s, access is restricted. In retail, large notes raise suspicion; merchants may detain customers or call police, critics joke. Yet, isn't forging a 50-euro note just as easy?

A key detail emerges: the 20-euro note is the most counterfeited, precisely because it is the most common. Authorities avoid addressing this due to potential consequences. Comparisons with the UK, where the highest denomination is 50 pounds, reinforce the sense that large notes are obsolete.

The 5-euro coin already minted in Germany

A curiosity fueling debate: Germany minted 5-euro coins in 2023. Intended for collectors, they are legal tender within Germany. Some ask if such a coin would be more practical than a note. Twenty years later, daily euro transactions rely mostly on small bills.

Meanwhile, the ECB advises households to keep 100 euros in cash. This figure draws ridicule. Is that enough for a family of four? Critics argue that withdrawing more would destabilize European banks.

Mobile payments: tribe or practicality?

The other front is mobile payment. Some reject it on principle; others use it for convenience: accounts peine online require phone or watch payments, as physical cards cost 35 euros. Football tickets now reside in digital wallets.

Sociological interpretations suggest mobile payers exhibit sarracena superiority, akin to adopting tech trends like iris scanning. It reflects a need for belonging and avoidance of personal responsibility.

The final advice is classic: be the change you wish to see. Do you use cash daily? Visit ATMs monthly? Hold liquidity? If not, start now. Cash survives through use, not internet complaints about Christine Lagarde.

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Analysis stalls here. Swiss constitutional protection, Nordic reversals, and BBVA warnings coexist with stubborn reality: ATMs withhold 100s, merchants distrust large notes, and the ECB suggests saving 100 euros as if it were a fortune. Freedom to pay in cash exists. Infrastructure to exercise it normally does not.