The Future Of E Cash
Kudos to Kelley Holland and Amy Cortese for a very informative article ("The future of money," Cover Story, June 12). The banking industry and the Clinton Administration had better get moving, or this wave will pass them by, and they'll lose any chance of controlling the E-cash market. The revolution has already begun.
I was surprised that your reporters neglected to mention the similarity between E-cash and early forms of printed money. There was a time when every U.S. bank printed its own banknotes. The problems are obvious: Banks (and sometimes the merchants) would not accept competing banks' notes. And if a bank closed, the paper was suddenly worthless. Because of these issues, I believe it will be only a matter of time before the government severely regulates the creation of electronic money.