With digital currency on the rise–hello, Bitcoin!– it’s not crazy to think that one day loose change and wallets will go the way of CDs, film and landlines. But how do these digital currency trends translate to everyday life? Following, we take a look at a few that might someday be used (if they aren’t already) at your local coffee shop.
Coffee shop frequenters who pay with plastic don’t often throw a bit extra toward their favorite barista. They have no cash on hand. In fact, only 27% of point-of-sale purchases were made with cash in 2011, according to a report by Javelin Strategy & Research, and that number is dropping every year. That’s why the tip jar is getting a makeover with the advent of DipJar.
DipJar lets customers tip with the convenience of plastic. A fixed amount–usually $1–is listed on the front of the DipJar. With each “dip” of a credit card, a tip is sent to the retailer.
It doesn’t get much easier than that–unless you didn’t even have to pull out your wallet: If some companies have their way, the future of the wallet will be no wallet at all. Your smartphone will be your wallet. LevelUp is an app that lets consumers pay with their smartphones after they have securely linked their debit or credit cards to an account. Filter, a coffee shop in Chicago’s Wicker Park neighborhood, is one of the 5,000-plus locations that currently accept LevelUp.
Filter doesn’t accept plastic because of the high fees associated with it. Customers who want to purchase a coffee can choose to pay with cash or they can open the LevelUp app and place the generated barcode in front of the LevelUp scanner on the counter. Phones vibrate when payment has been accepted. There’s even an option to add a tip before scanning.
The PayPal app works in a similar way. It’s now accepted at retailers large and small, from Dunkin Donuts shops to Home Depot to the local Chinese restaurant down the street.
When it comes to digital currency, what is your threshold? Are you on board with paying with your smartphone? Or tipping with plastic? Or would you rather pay cash? It’s a whole new world of currency.