The cashless revolution has taken over many parts of Australia and it’s even hit The Perth Mint. The tourist attraction in Western Australia allows you to buy collector coins, gold, silver and platinum bullion bars, jewellery and other items.
It’s slightly different to the Royal Australian Mint in Canberra, which is responsible for producing the nation’s change. But The Perth Mint is a hotspot for tourists and avid collectors, and it’s not uncommon for crowds to line up outside when rare coins are released to get their hands on the collectables, which can skyrocket in value.
Adelaide resident Chris was one of these tourists, who recently went to the Perth Mint with a friend to buy a collectable coin and was “disappointed” when she was told an Australian location that makes collectible money, won’t accept physical currency.
“The lady looked at me when she sort of said, ‘Oh, we don’t take cash’, and just pointed to the sign on the counter…I thought, ‘This is crazy’,” she told Yahoo Finance.
“They have a huge gift shop there and it sort of ranges in prices for gifts.
“There were other things that were quite expensive, but you would at least think for the cheaper line, they would be accepting cash for that … I was just astounded.”
Chris, who did not want to be identified, said there was a very good reason she had cash on her.
She had to cancel her credit card the day before as she was scammed by a fake parking metre.
Why does the Perth Mint not accept cash?
The Perth Mint is Australia’s “largest fully integrated, innovative precious metals enterprise” and provides gold, silver and platinum products and services to markets across the world.
It’s run by the Western Australian government and is the world’s only government-owned and guaranteed precious metals enterprise.
A spokesperson for The Perth Mint told Yahoo Finance the decision to go cashless was not new.
It made the switch in July 2021.
“The cashless payment policy is part of our systems and processes to combat money laundering and other financial crime,” they said.
Interestingly, a spokesperson for The Royal Australian Mint in Canberra told Yahoo Finance it “happily and definitely still accepts cash”.
Cash and money laundering: A sordid relationship
The Perth Mint didn’t elaborate on its cashless decision apart from saying it was to combat crime.
According to the Australian Federal Police, there are two main types of financial crime involving cash: money laundering and counterfeit currency.
The crimes are connected to the illegal drug trade, crime syndicates like the mafia, outlaw motorcycle gangs and are also related to cybercrime, as well as fraud and corruption.
While these groups have been able to use cash in their illegal activities, some have been able to capitalise on the digital revolution to keep their operations going.
“Cash was traditionally a preferred choice for illicit transactions due to its anonymity, [but] digital payment methods have ushered in new opportunities,” Napier AI, an artificial intelligence-powered anti-money laundering platform, said.
“Criminals are increasingly employing sophisticated techniques, aided by advancements in artificial intelligence, to launder money through digital channels.
“They now turn to avenues such as cryptocurrencies, peer-to-peer payment apps, in-game purchases, and gambling to obfuscate their activities.”
