Contactless connections

Contactless, crypto-currencies, the digital euro... From cash to digital, the exchange code to computer code, money is becoming increasingly disembodied, with 90% of the world's money now in virtual form. And the more it is separated from its physical representation, the more its value is based on the social trust that individuals place in it...

As technology inexorably reshapes our lives, it is not surprising that the way we deal with money has also undergone a significant transformation. From the barter system of ancient times to today's surge in digital currencies, the dematerialisation of money has revolutionised the way we conduct transactions and manage our finances.

Numerous advantages

The convenience and speed of digital money are self-evident. Digital transactions have made it incredibly convenient to send and receive money – instantly, to and from anywhere in the world. No need to wait in long queues any more or worry about tedious administrative procedures.

Transactions are more secure. Advanced encryption techniques and secure platforms ensure that our financial transactions are protected against fraud and unauthorised access.

Electronic forms of money also offer the welcome benefit of being more environmentally friendly. By reducing the use of paper money, we are helping to preserve natural resources and reduce our carbon footprint.

But is the dematerialisation of money a mark of our times?

Not necessarily, because it is not correlated with a narrative of technical progress. Rather, from one era to the next, it varies according to the degree of trust that unites the members of a community. The ancient Greeks invented the bill of exchange to enable them to travel without transporting cash. In the Middle Ages, account books and letters of credit replaced the circulation of precious metals, before the return of physical money in the 16th century due to the massive influx of gold and silver from the Americas.

So what does this signify?

Whether real or virtual, money shows that we belong to a system that guarantees the credibility of the goods exchanged. Ultimately, the only constant is the presence of the temple guardians – the central banks who are the guarantors of exchange values.

But as these values change with economic circumstances, it is clear that gold, a hedge against speculative crashes and inflationary crises, has once again become a safe-haven investment, as if its ancestral symbolic role as a concrete reference can obviate the risks associated with dematerialisation. The same applies to the purchase of property, particularly in Europe. Real estate is a visible, tangible investment that counteracts the fear of the virtual. While the need for social trust is not eliminated, it shifts to the value placed by a community on the quality of the property, the location of the land and the demographic evolution of the population.

Consequently, the dematerialisation of money, far from being a simple product of the technology of our times, is really a dynamic manifestation of a constantly evolving social trust. This trust is demonstrated today by our faith in virtual currencies and the central banks.