This device, integrated into vending machines, enables automated cash transactions by electronically validating and accepting paper currency. It typically involves mechanisms for pulling in the bill, sensors for verifying its authenticity and denomination, and a storage compartment for accepted bills. A simple example is a snack vending machine allowing customers to purchase items using various denominations of banknotes instead of solely coins.
Facilitating cashless transactions increases accessibility and convenience for consumers, boosting sales potential for vendors. This automated system reduces the need for manual cash handling, minimizing errors and security risks associated with physical currency management. Historically, vending machines primarily operated with coins, limiting purchase options. The advent of this technology broadened product offerings and price points, significantly impacting the vending industry’s growth and evolution.