The cash environment in Israel is subject to various changes, including technological, regulatory and cultural ones. Said changes reflect possible scenarios regarding the future demand for cash. However, despite the degree of uncertainty, central banks need to prepare forecasts regarding future demand for cash in the context of operational decisions, risk management and resource allocation. To improve our understanding of banknote properties and the use of cash in Israel, the Bank of Israel has now begun analysing data collected on banknotes. This presentation will cover the use of serial number data as a significant tool for the accrual of substantial information concerning the quality of banknotes in circulation, which facilitates the analysis of all stages of the banknote lifecycle.