Electronic money was created to improve the efficiency of existing payment systems and to replace notes and coins in everyday transactions. Possibilities of its application worldwide is constantly growing in line with the development of information technology. Today we meet with various forms of e-money. Numerous services for electronic payments such as PayPal have become an alternative to the traditional method of payment and are considered to be sufficiently safe payment method. Much like in the world, e-money in Croatia is applied in accordance with the new technology of electronic business. Internet banking, mobile payments and e-commerce are being successfully implemented. Although the trend of e-money in Europe and worldwide is going in the direction to completely replace cash in circulation, Croatia is not yet ready to give up the cash.