Governments hate cash. It's expensive to print, to maintain, and to destroy.Cash is so last century. So, too, I suspect is the "lower zero bound" on interest rates.
More importantly, it allows people to conduct transactions totally anonymously, it's virtually impossible to track the movements of people and their purchases if they use cash. A person can also just keep it--a totally liquid and easily transportable store of wealth that can be used everywhere without any records while it is being stored. Authorities hate that.
If a person has done nothing wrong, they shouldn't have any objection to having their activities tracked, right?