Are we really ready for a cashless world? The Blackout of Spain and Portugal Raises Tough Question

As millions of people in Spain and Portugal struggled to cope with the blackout that occurred on April 28th, a surprising result of our modern dependency on digital technology became clear: we were unable to afford even the most basic needs.

With no power for hours — and in some areas, over a day — card machines, ATMs, and even basic shop tills were rendered completely useless. Supermarkets, petrol station, pharmacies and convenience stores across the Costa del Sol were forced to close or turn away customers who could not pay in cash.

This blackout revealed a vulnerability in an age when governments and banks are pushing for a cashless economy. We rely too heavily on digital systems, which depend on power and connectivity. When the lights go out — so does your ability to pay.

Shops paralyzed by technology

During the power outage:

The power was out and the tills would not open.

The card reader is not working, so debit or credit payment are impossible.

Apple Pay, Bizum and other mobile payment apps have been unable to function due to poor internet or mobile signal.

ATMs were not working, so people could not withdraw money in an emergency.

Staff at large supermarkets, such as Mercadona Carrefour and Lidl, reportedly turned customers away. The failure of lighting, refrigeration or security systems forced smaller local stores to close, even though they could have remained open using manual tills and money.

What is the future warning shot?

The governments of Europe have adopted cashless policies to “modernize” their economies, reduce fraud and increase transaction speed. This incident has reignited the public debate.

What happens when there’s a system failure — not just at your bank, but across an entire continent?

While power cuts of this magnitude are rare, they are not impossible — especially as climate events, cyber threats, and technical glitches become more common. Critics say that a completely cashless society leaves businesses and people at risk in times when they need to be protected.

Balance: The Need for Balance

This blackout shouldn’t be an argument against technology, but rather a call for resilient system. It means:

Maintaining cash infrastructure is important, particularly for emergencies.

If possible, install manual override mechanisms in shops.

Keep small amounts of money at home: Public awareness campaigns

Batteries-powered point of sale or backup generators are ideal for services that require essential services.

As one local shop owner in Málaga put it, “We couldn’t even sell a bottle of water. Everything we rely on runs on electricity — the tills, the scanner, even the lights to see the price tag. “If it weren’t cash, we wouldn’t have anything.”

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It wasn’t a simple blackout. This was a spotlight shining on a fragile, uncertain future. One where the next “glitch” — whether technical or malicious — could freeze entire economies in the blink of an eye.

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