Creating physical currency is expensive. For example, in the US, it costed 5¢ to make a 1¢ coin. This is the reason why the 47th Trump administration ordered no more pennies to be made after their last batch. With that said, all currency cost money. It is obviously a better rate the higher in currency you go, but there is still a cost. Also physical currency can get lost, stolen, or used for illegal purchases. This is a lot to consider.
In the Kingdom of Kaldus, there will be no physical currency. Instead, the bank produces a $5.00 Debit Mastercard, and from there – it serves for all of the currency of the consumer. It isn’t a big issue to lose the card as it can be replaced with all of your currency still yours. Theft can be protected, and prosecuted, and it will leave a paper trail – therefore forcing criminals to figure out how to deal with the fact there is no phantom money to deal with.
In addition to no physical currency, there is also no paper checks, nor money orders. Simply put, the Kaldan National Bank is required to provide everyone that has a National ID Number with a bank account even though they are a newborn. To “gift” the child with money, they will simply deposit the money into their account. When the child is old enough to manage their own money, they will be able to make use of that money. While this solution is not perfect, the advantages outweigh the disadvantages
Now, to address the business side of digital currency. Many businesses will complain that it doesn’t cost them money to accept cash. With that in mind, there will be laws in place to reduce the transaction fees for the business. They will obviously add the cost of these fees into the base purchase price of their goods/services, but it is a small price to pay to have a complete digital currency.
Any visitor will simply use their current credit or debit card. The visitor will want to contact their bank in regards of foreign transaction fees, but this will be between the bank, and bank consumer. Foreign physical cash will not be accepted, nor will there be exchange centers. Expats will be able to receive a bank account just by setting up an account with a GAON (Government Authorization Order Number), and their NIN (National ID Number). More information on this is at the HHS Website.