# More than two thirds of American and Chinese millennials say they hardly use cash any more, says new Future of Money report. 
Author:  Pal Sinha, Barnali 
Author URL: https://financedigest.com/author/pal-sinha-barnali
Published: 2018-05-02
Category: NEWS
Category URL: https://financedigest.com/category/news
Meta Title: The Future of Money: Millennials Abandoning Cash
Meta Description: Discover how Chinese tech firms are leading the charge in disruptive global changes in payments and banking, embraced globally by millennials.
URL: https://financedigest.com/more-than-two-thirds-of-american-and-chinese-millennials-say-they-hardly-use-cash-any-more-says-new-future-of-money-reporthtml

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The vast majority of 18-34-year-olds in the United States and China **are moving away from cash**, according to a new report from The Innovation Group at J. Walter Thompson Intelligence. The Future of Money report sheds light on the disruptive global changes ahead in payments, currency and banking. Advances in these fields led by [Chinese](https://www.financedigest.com/stellantis-ceo-electric-vehicle-tariffs-are-a-trap.html) tech firms and early-adopting Chinese [consumers are now being embraced globally](https://www.financedigest.com/top-5-players-to-account-for-45-of-global-consumer-appliance-coatings-market-share-through-2031.html "Top 5 Players to Account for 45% of Global Consumer Appliance Coatings Market Share Through 2031"), particularly by millennials.

The Future of Money report shows that **63%** of US millennial **consumers hardly ever use cash**, with **75%** [saying](https://www.financedigest.com/boohoo-says-exposure-to-sterling-plunge-is-limited-finance-chief.html "Boohoo says exposure to sterling plunge is limited – finance chief") they want more diverse [financial](https://www.financedigest.com/financial-literacy-what-is-financial-literacy-and-why-is-it-important.html) products that are more suited to their needs and lifestyles. US millennials are now twice as likely as baby boomers (aged 55+) to use alternative mobile payments and messaging payment [apps](https://www.financedigest.com/exclusive-apple-hit-with-antitrust-case-in-india-over-in-app-payments-issues.html "Exclusive-Apple hit with antitrust case in India over in-app payments issues") such as Venmo.

New consumer attitudes are also continuing to be shaped by the shadow of the 2007-2008 [global economic crisis](https://www.financedigest.com/putin-says-west-is-triggering-a-global-economic-crisis.html "Putin says West is triggering a global economic crisis"). The report finds that 89% **of US and** Chinese millennials now prioritize long-term financial security.

The report also finds that the vast majority of [Chinese( **76%**)](https://www.financedigest.com/stellantis-ceo-electric-vehicle-tariffs-are-a-trap.html) and US consumers (72%) say recent high-profile [data breaches](https://www.financedigest.com/how-financial-organisations-can-stay-protected-from-financial-data-breaches.html "How Financial Organisations can Stay Protected from Financial Data Breaches ") have damaged their trust in major financial institutions. In addition, 76% of Chinese and 65% of US consumers, particularly women, [say ethical behaviour is important](https://www.financedigest.com/malaysias-top-glove-says-u-s-lifts-import-ban-over-forced-labour.html "Malaysia’s Top Glove says U.S. lifts import ban over forced labour") when choosing a [financial](https://www.financedigest.com/financial-literacy-what-is-financial-literacy-and-why-is-it-important.html) institution.

The report surveyed 2,000 consumers in total; 1,000 in the United States and 1,000 in China. China is increasingly [driving innovation](https://www.financedigest.com/tectonic-innovation-to-drive-the-spearmint-oil-market.html "Tectonic Innovation To Drive The Spearmint Oil Market") in money and payments. A staggering 77% of Chinese [consumers say](https://www.financedigest.com/u-s-consumers-inflation-expectations-highest-in-8-years-ny-fed-says.html "U.S. consumers’ inflation expectations highest in 8 years, NY Fed says") they are interested in alternative banking and payments. 61% of [Chinese](https://www.financedigest.com/stellantis-ceo-electric-vehicle-tariffs-are-a-trap.html) millennials say they would use the Internet of Things to access banking services (vs. 36% in the US). 47% of Chinese millennials are already using [facial recognition](https://www.financedigest.com/how-ai-looks-set-to-power-facial-recognition-passport-adoption-across-southeast-asia-post-covid.html "How AI looks set to power facial recognition passport adoption across Southeast Asia post-COVID") as a form of financial ID (vs. 18% of US millennials). The report also found, however, that US millennials are catching on fast.

The Future of Money survey shows how open to advances in tech the average [banking customer](https://www.financedigest.com/canadian-banks-fighting-brokers-back-for-customers.html "Canadian Banks Fighting Brokers Back For Customers") has become, particularly in China—40% of Chinese and 34% of US consumers say they would now interact with their bank using a smart speaker.

Chinese consumers are twice as likely to know about blockchain as US consumers, and twice as likely to have tried a number of other [disruptive new payment systems](https://www.financedigest.com/trapping-and-mating-disruption-systems-market-is-witnessing-high-sales-growth-over-2028-fact-mr-report.html "Trapping And Mating Disruption Systems Market Is Witnessing High Sales Growth Over 2028, Fact.MR Report"), from micro investing and microdonations to thumbprint, facial and voice recognition.

Lucie Greene, worldwide director of the Innovation Group, said: “The [financial](https://www.financedigest.com/financial-literacy-what-is-financial-literacy-and-why-is-it-important.html) [sector](https://www.financedigest.com/time-to-act-as-cybercriminals-hot-on-the-heels-of-finance-sector.html "Time to act as cybercriminals hot on the heels of finance sector") is going through a period of unprecedented change, presenting massive opportunities and also challenges to traditional institutions. [Consumers are adopting new behaviours](https://www.financedigest.com/from-in-store-to-online-how-the-pandemic-affected-consumer-behaviour.html "From in Store to Online: How the Pandemic affected Consumer Behaviour") masse, including peer-to-peer payments, digital-first banks, cryptocurrencies and more. They expect more not only from [bank brands’ services](https://www.financedigest.com/the-gmp-cell-banking-service-market.html "The GMP Cell Banking Service Market") and ethics, but also from their curb appeal and branding. The axis of influence in innovation is also [rapidly shifting](https://www.financedigest.com/demand-for-automotive-gas-charged-shock-absorbers-market-to-be-fuelled-by-rapid-shift-in-consumer-perception-and-increasing-awareness.html "Demand for Automotive Gas Charged Shock Absorbers Market to be Fuelled by Rapid Shift in Consumer Perception and Increasing Awareness") to Southeast Asia and China, as tech companies introduce a plethora of highly intuitive, mobile-first systems that fit with dynamic lifestyles. But these behaviors are being adopted world-wide.”


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