The Financial Future of the World in the Hands of Technology
Tehran - BORNA - According to a McKinsey report, the volume of global digital transactions surpassed $9.5 trillion in 2023, and this figure is expected to exceed $20 trillion by 2030. This staggering growth is driven by a combination of factors, including increasing internet penetration, the COVID-19 pandemic, the widespread adoption of smartphones, and shifting consumer behavior.
The Rise of Contactless Payments
One of the major growth engines in digital payments has been contactless transactions. According to Statista, the value of contactless payments reached over $5 trillion in 2024 and is projected to hit $10 trillion by 2028. Technologies such as NFC, smart credit cards, and mobile wallets like Apple Pay and Google Pay have played a pivotal role in this shift.
In countries like the United Kingdom and Australia, more than 90% of daily transactions are already conducted via contactless payments, highlighting the speed and convenience driving consumer adoption.
The Role of Central Bank Digital Currencies (CBDCs)
A key development in this space is the growing momentum toward CBDCs national digital currencies issued and backed by governments and central banks. Unlike decentralized cryptocurrencies such as Bitcoin, CBDCs aim to provide a secure, fast, and transparent digital version of national fiat currencies.
China pioneered this effort by introducing the Digital Yuan in 2020, with more than 260 million users now participating in pilot programs. The European Union is also planning to launch a digital euro by 2028.
Japan has recently taken a major step forward as well. Japan Post Bank announced that it will issue the Digital Yen (DCJPY) by the end of fiscal year 2026. Managing over ¥190 trillion ($1.29 trillion) in deposits, the bank stated that DCJPY will function as a deposit-based digital currency, fully backed by fiat yen—similar to stablecoins. Built on blockchain technology, it will enable instant, transparent, and secure transactions. With this move, Japan is set to become one of Asia’s leading CBDC pioneers.
Experiences in Developing Nations
Digital payments are also booming in developing countries. In India, the Unified Payments Interface (UPI) processed over 11 billion transactions in June 2024 alone. This system allows people—even in remote rural areas—to carry out transactions using just a basic mobile phone, making financial services more inclusive.
Challenges and Risks
Despite rapid growth, digital payments face significant hurdles: Cybersecurity: More digital transactions mean greater exposure to cyberattacks. Cybersecurity Ventures estimates that damages from cybercrime will reach $10.5 trillion annually by 2025.
Financial Inclusion: Millions of people worldwide still lack access to reliable internet or banking services.
Privacy Concerns: Critics of CBDCs often point to the risk of government surveillance over individual transactions.
The Future of Digital Payments
Experts predict that the integration of artificial intelligence, blockchain, and biometric payments (such as fingerprint and facial recognition) will define the future of transactions. According to PwC, by 2030 more than 60% of global transactions will be digital.
With the pace of change accelerating, traditional cash is gradually losing its foothold. National digital currencies such as China’s Digital Yuan and Japan’s Digital Yen are poised to play a central role in shaping the future of the global financial system.
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