KashCash app offers anonymous alternative to Bit and Paybox

The KashCash payment app was launched this week in Israel, offering a surprising twist: digital cash transfers with added anonymity—without the need for a credit card. Unlike other payment apps such as Bit and Paybox, KashCash allows users to withdraw money from their bank account directly to the app, transfer funds to others, and make purchases at stores. This creates a more anonymous alternative to apps like Bit and Paybox, eliminating the need to visit an ATM.

Before transferring money from the bank to the app, users will be prompted to briefly verify their identity with their bank, either by entering a password or through biometric recognition, to approve the transfer amount. Additionally, like Paybox and with an update soon to come to Bit, users can withdraw their app balance and deposit it back into their bank account.

One of KashCash's standout features is the ability to transfer money via contact by simply tapping two mobile devices together. This process is completely anonymous, requiring no input of personal details such as a name or phone number, making it function similarly to physical cash. Furthermore, the app facilitates digital payments for children (with parental supervision), individuals without a credit card, and even those without a bank account.

Using KashCash is free and does not require a credit card. To withdraw funds from the bank to the app, users need to set up their bank account details within the app. The transfer process is conducted in collaboration with the bank and requires the customer to verify their identity through a password or biometric authentication to ensure only the account owner can withdraw funds. The money transferred to the app is held in a trustee bank account, supervised by the accounting firm BDO.

Payments at retail locations can be made by connecting the app to the store’s cash register. Cash registers in Israel are already integrated with the app, and businesses without a cash register can use a dedicated business app. Payments will be accepted at stores that support the app, including around 200 retail chains, thousands of shops, and numerous small businesses that have adopted the "KashCash for Business" app.

The initiative was founded by veteran fintech entrepreneur Professor Dudi Gershon, who previously established the financial services company SuperDerivatives.