A new banknote is a future-proofing opportunity

One outcome of the ongoing struggle against counterfeit banknotes is that central banks worldwide periodically introduce new banknotes. These are ideally designed with the best existing technology, while keeping the future in mind, to keep bad actors at bay for the life cycle of that series. This means incorporating the most cutting-edge security features on the banknote, including those that are visual, haptic, and machine-readable. 

An ever-present reality of the cash cycle is that the same technology that powers advances in currency technology is also available to counterfeiters. As the Bureau of Engraving and Printing (BEP) in the United States pointed out, “Notes must be resistant to increasingly sophisticated counterfeit attacks – security is the primary purpose of redesign.”¹

The BEP laid out a program for the introduction of new US dollars in the US market and elsewhere. A redesigned $10 bill will enter circulation in 2026, followed by the $50 in 2028, the $20 in 2030, the $5 in 2032, and finally the $100 in 2034.²

While this protects citizens against the pernicious efforts of counterfeiters, it poses issues for retailers, banks, cash-in-transit operators (CITs), and other stakeholders in the cash cycle. There are more than 10 million machines globally that process US banknotes.³ Each one of those has to be equipped to handle – and, if required, to verify – the new $10 note (and its “siblings” when they are released).

Being prepared for the change starts now. 

Challenges for the cash cycle

Banks, CITs (cash-in-transits), retailers, and other players in the cash cycle should be aware that a new $10 bill is coming in 2026. This is a clear, pressing issue that requires preparation.

Gruber highlighted a two-pronged approach to dealing with the issue at hand:

1. Educate staff about the new banknote (when details are available)
2. Ensure technology is up to date, including hardware and software

Education should include learning the security features of new notes, and how to handle rejecting questionable ones. In terms of technology, some can be handled through software updates. But some older equipment may require replacing.

There is an additional issue, noted Gruber: some work may be hands-on for the vendor, including engineer visits. Scheduling that time can present issues, especially as the rollout date approaches. Planning well in advance is key in this scenario, so personnel and time crunches can be avoided – wherever they may occur.

An opportunity for banks and CITs

“Where are you in your tech stack?” asked Gruber. “The introduction of a new bill gives you the chance to really look at where you are with your equipment, your hardware and software. It should nudge you to look at your cash-handling processes. Are you using all the tools that are available now, like AI, to boost your inventory management and forecasting? There’s a cost to keeping ‘idle’ money in the branch. How can you increase efficiency within that space? There’s also a cost to moving cash around. How can that be minimized through fleet and route management and other similar tools?” 

More than just finding the right software updates – and buying new equipment where it is absolutely required – the introduction of a new banknote is really an opportunity to scale up your own processes, especially as the stakeholders are being encouraged to collaborate in smoothing any “pain” the changeover may bring. “Note designs are typically made public six to eight months ahead of time for global public-education and cash-handler-education purposes,” stated the BEP, and samples of newly designed notes will be provided to “Banknote Equipment Manufacturers” to facilitate the crossover.⁵ By doing this, the hope is that stakeholders can minimize disruptions to the cash cycle.

Published: 30/10/2025