Young Australians believe the country is heading for a cash-free society, with a survey finding 20-30-year-olds on average no longer carry physical money and deem it will not exist in 10 years.
And in a further nail in the banknote coffin, more than a third (37.6%) of respondents considered cash already redundant – a view held by nearly half (49.1%) of Generation Y.
The findings were part of a Bankwest survey of Australia's two largest population hubs – Victoria and New South Wales – and revealed strong and varied generational opinions on physical cash.
More than half of those surveyed believed Australia would be cash-free in a decade, a view most strongly held by Generation Y (58%).
Baby Boomers (54-73yo) remained most tied to physical money, with more than two thirds reporting they always carried cash, compared with just a third of their younger counterparts.
The findings were also reflected in the hip-pocket, with Baby Boomers ($82.20) on average carrying the most cash on a typical day, compared to Gen X ($62.70) and Gen Y ($51.70).
The differing attitudes could be proving problematic at social events, with almost 90 percent of Baby Boomers preferring to split a bill with cash, compared to 50 percent of Gen Y respondents.
The move towards a cash-free society was also seen in people's attitudes towards cash-only merchants, with almost two-thirds of respondents labelling it frustrating.
Australia's two largest cities were most divided on digital payments, with more than a third of Sydneysiders using their smart phone, compared to less than a quarter of Melbournians.
Bankwest Executive General Manager – Customer Solutions and Insights, Pieter Vorster, said: "Customer needs and expectations are changing rapidly, and these results highlight that.
"Those changes are driven by digital innovation and new and existing competitors and show why businesses everywhere are prioritising investment in digital experiences for their customers."