Submitting Organziation Name and role, if any, in the Project
Koenig & Bauer Banknote Solutions
Technology Developer
Date the Program was launched
Organization/s that is ”responsible for, owns, initiated or facilitated” the Cash Visibility Program/Initiative
Project Description
Sustainable cash management model built upon cash data acquisition at point of transaction.
Project Team
Countries where implemented
To be Confirmed
The benefit received to stakeholder/s from having more cash visibility via the new program
• Real-time point-of-transaction authentication and data capture
• Compliance to clean note and other recycling regulations
• 100% Visibility on cash fitness and authenticity in all parts of the nation
• Low-cost deployment using existing mobile devices/infrastructures
• >90% reduction in the cost and eco impact of recycling
• Insights and data on cash flow patterns, trends, demand patterns and velocity cycles
• No compromise to anonymity of cash since banknote data is only associated with agent
The level of collaboration involved with the cash visibility program
While the Valicash+ enables the deployment of a more sustainable cash management model, a key factor for success is the engagement of multi-party stakeholders who are already involved in cash access and recycling.
In emerging nations, this is made possible by the proliferation of Mobile Money Agents who currently represent not only the world’s number 1 cash access channel but also the world’s biggest banknote recycling agent, informally processing almost 2 billion banknotes per day via their Cash-in/Cash-out (CICO) process. This is the equivalent to the capacity of over 2,000 high-speed sorters and they do it sustainably and equitably without generating cost, friction or a notable carbon footprint.
In developed nations Valicash+ can be embedded into a wide range of emerging alternative cash-access channels, including CashBack, Cash-in-Shop and virtual ATM services. While all of the above cash-access service providers share a common goal-to provide more sustainable and cost-effective ways for the public to access cash, their role exposes them to risk. Without an appropriate, accessible and inclusive banknote authentication technology at their disposal they may inadvertently accept and reintroduce counterfeit banknotes into circulation and fail in compliance to either Central Bank clean-note or recycling regulations. ValiCash+ bridges this gap and acts as a compliance management tool for innovators moving into the cash access space with more sustainable and equitable models.
The uniqueness, creativity, and/or resourcefulness of the design/plan for the program
The global cash community must address the increasing cost and ecological footprint of cash in circulation. Most initiatives to date focus on increasing automation, speeds or adding new layers of technology to a highly physical, unsustainable and inequitable process.
Our approach is not to simply introduce new technology to an outdated model. It involves a radical yet logical change of model that prioritises data capture when and where the public actually use cash, thereby keeping cash where it is needed most (the public/retail level) and avoiding the cost, risk and ecological impact of moving it constantly.
Deployment of ValiCash+ in any national context can be managed by Central Banks according to their evolving priorities and the level of cash access innovation underway in their country. It will ultimately empower further innovation in or community by enabling CashTech innovators to fill the cash access gap left behind as commercial banks decrease traditional infrastructures while providing new value propositions to the Central Bank via data insights, compliance and cash visibility.
The effective use of technology in the program
Koenig & Bauer Banknote Solutions has developed an innovative technology that functions on mobile devices to capture key banknote-metric data and make it available via dashboards for Central Banks and if required, other cash cycle stakeholders. ValiCash+ is a proprietary banknote analytics algorithm that captures processes and transmits banknote data from an App running on mobile devices. The type of datasets generated include:
• Banknote authenticity
• Real-time counterfeit alert
• Counterfeit type/clusters/identifiers and print source
• Banknote fitness
• Banknote physical integrity
• Banknote soiling level
• Compliance with clean-note policies
• Denomination flows/demand patterns
Capturing banknote data with ValiCash+ takes less than 2 seconds and by capturing only 10% of all banknotes exchanged, Central Banks will already enjoy meaningful analytics and data to support data-driven decision-making. (ValiCash statistically significant data model).
ValiCash+ is intended to act as a compliment to cash-center recycling and act as an empowering agent to significantly change existing cash management models. While centralised cash recycling may make sense in high population density urban areas, the model fails when it involves transporting banknotes outside of a certain catchment area. ValiCash+ provides the opportunity to capture banknote data in regions where no data insights exist and a sustainable model for decentralised recycling by existing cash stakeholders involved in high growth cash access sectors.
