Visa is set to roll out a new initiative – The Visa Cashless Challenge – to encourage businesses accept all forms of digital payments, as part of plan to create an environment where cash is no longer king.

The Visa Cashless Challenge will encourage businesses, including restaurants, cafés or food truck owners, to go cashless.

Visa has announced that it will be award up to $500,000 to 50 eligible US-based small business food service owners who commit to joining the 100% cashless drive.

Visa head of global merchant solutions Jack Forestell said: “At Visa, we believe you can be everywhere you want to be, and that it should be easy to pay and be paid in more ways than ever – whether it’s a phone, card, wearable or other device.

“With 70% of the world, or more than 5 billion people, connected via mobile device by 20201, we have an incredible opportunity to educate merchants and consumers alike on the effectiveness of going cashless.”

In a recent study, Visa found that if businesses in 100 cities transitioned from cash to digital, their cities stand to experience net benefits of $312bn per year.

In New York City alone, businesses could generate an additional $6.8bn in revenue and save more than 186 million hours in labour, by making greater use of digital payments.