Mon Jan 1, 0001

Death of Cash and Financial Weaponization

Cash Decline

  • US: cash accounted for 20% of transactions in 2023 (Federal Reserve Diary of Consumer Payment Choice), down from 31% in 2016
  • UK: cash payments fell from 63% (2006) to 14% (2022) (UK Finance)
  • Sweden: cash under 10% of transactions; Riksbank piloting e-krona
  • India: PM Modi demonetized 500/1000-rupee notes November 8, 2016, invalidating ~86% of currency in circulation overnight

IRS $600 Reporting Threshold

Section 9674 of American Rescue Plan Act (2021) lowered 1099-K reporting threshold from $20,000/200 transactions to $600. IRS delayed implementation (Notice 2023-74, November 2023). Notice 2024-85: $5,000 phase-in for tax year 2024. $600 threshold has not taken effect as of early 2025.

CBDCs

  • China digital yuan (e-CNY): pilots launched 2020, expanded to 26 cities by 2023, 950+ billion yuan (~$130B) cumulative transactions (June 2023)
  • Federal Reserve: discussion paper “Money and Payments” (January 2022), no position taken
  • EU: proposed €10,000 cap on cash payments in AML regulation package (July 2021), agreed January 2024

ICC Officials Sanctioned/Debanked

Executive Order 13928 (Trump, June 11, 2020): authorized asset freezes and visa restrictions against ICC personnel investigating US service members or allies. September 2020: US sanctioned ICC Prosecutor Fatou Bensouda and senior official Phakiso Mochochoko. Biden revoked sanctions April 2021 (EO 14022). 2024: reports of ICC judges/prosecutors facing banking difficulties after renewed US pressure related to arrest warrants for Israeli officials; ICC staff reported accounts closed by US-connected banks.

Canada Freedom Convoy (February 2022)

Emergencies Act invoked February 14, 2022 (revoked February 23). Under Emergency Economic Measures Order (SOR/2022-22), banks directed to freeze accounts of individuals connected to protests WITHOUT court orders. RCMP provided lists to financial institutions.

  • ~257 accounts frozen, ~$7.8 million CAD (Public Order Emergency Commission testimony)
  • GiveSendGo (US crowdfunding platform): raised ~$8 million for convoy; donor data hacked and published February 13, 2022; some donors reported account freezes
  • Banks used RCMP-supplied license plate data to identify account holders

Federal Court ruling (January 23, 2024): Justice Richard Mosley ruled invocation of Emergencies Act was unreasonable, violated Charter Section 2(b) (expression) and Section 8 (search/seizure). Canadian Civil Liberties Association v. Canada, 2024 FC 42.

UK Debanking

Nigel Farage: Coutts (NatWest subsidiary) closed his account (revealed June 2023). Internal 40-page Coutts dossier (obtained via subject access request): his views were “at odds with our position as an inclusive organisation.” NatWest CEO Dame Alison Rose resigned July 25, 2023 after admitting she discussed the matter with BBC journalist. FCA reviewed ~300 debanking complaints. Other reported cases: Free Speech Union and several religious/conservative organizations.

January 6 Defendants

DOJ used geofence warrants for cell phone location data and obtained financial transaction records (credit/debit card usage near Capitol) to identify participants.

Bank of America reportedly voluntarily provided transaction data to FBI for customers who made purchases in D.C. area January 5-6, 2021 (reported February 2021; BoA stated compliance with legal process).

~90%+ of resolved J6 cases resulted in guilty pleas. Several defendants cited inability to retain private counsel, relying on federal public defenders.

Sources

  • Federal Reserve Diary of Consumer Payment Choice (2023)
  • UK Finance (2022)
  • EO 13928 (June 11, 2020)
  • Canadian Civil Liberties Association v. Canada, 2024 FC 42
  • Public Order Emergency Commission testimony
  • FCA debanking review (2023)