I think you're right that this is the dynamic at play here. It is similar to the dynamic by which many regions have leapfrogged landline telephones, skipping the older more infrastructure/capital intensive version of technology.

The developed economies were already mostly "cashless." Very little cash has run though most malls, hospitals, schools or even supermarkets for decades already. "We hqave something good enough" is definitely at play.

That said, we need to keep in mind that financial transactions has been close to an airtight oligopoly for a long while. 2 CC companies have run the show for decades. They have very deep "moats" with spikes and crocodiles. One of the big one is the strict regulation, which heavily favours established incumbents.

It's yet to be seen whether China (+India, etc.) will develop a dynamic market for financial services in their cashless economies, once the dominant services become established and entrenched.