11. The Effect of COVID-19 on Electronic Currencies as They Become Common Payment Methods

Social events or disasters have caused changes in the materials that individuals use in daily life. On the other hand, technological developments have also affected these changes. Nowadays, this situation is often referred to as digital transformation. Digital transformation is a fundamental process that uses digital tools, through technological and cultural changes. This process has affected the world of finance as well as in all areas of life. The most important effects are the transfer of payment systems and markets to the Internet. The use of electronic money by individuals in daily life is increasing. Electronic money refers to a certain amount of cash or deposits exchanged from the financial institution through the fast payment service initiated by banks and third parties using certain electronic channels (credit cards, etc.). This study evaluates the effect of the COVID-19 pandemic, on the use of electronic money. The course of digital transformation in financial instruments has changed after COVID-19. It is particularly important to assess, in a realistic way, the risks of contamination through cash, as avoiding cash can have distributional consequences. After the outbreak of the pandemic, the increase in online shopping rates and the electronic payment preferences of individuals also increased. However, some companies that place an online order apply to the cash on delivery method because they cannot accept online payments or because most of their customers cannot pay electronically. States are also developing projects to adapt to this new payment system. Problem is that infrastructure investments that require high amounts of public expenditure are investments that the state and international organizations (for developing countries) can afford and require time.