Yes, but flexibility that happens in those conditions is at the cost of tremendous effort and risk from the population, usually under the tutelage of bigger power structures. EG: scammers are usually part of some organisation that has the power to do that, and the guy giving his name on the bank account is basically disposable.
Also the fact the population is so huge make it hard even for such a powerful state to grasp it all.
But regular citizen flexibility when something is not state-approved in advance is very limited compared to ours. The state can limit where they can move because of the citizen passport, limit what they can buy (and say) because of wechat, limit what they can see and know because of the GFW, limit how much you can be anonymous because big cities have cameras everywhere, coupled with AI tracking.
In Europe, if my government does something I don't like, I can pay in cash, or cross a border and do it in a different country. I can complain on the internet and find like-minded people to organize, advice, help...
I want to go to a gay bar and pay without having a record of it? I can. I want to finance an art or political project that the government would not like? I can.
In fact, anywhere in the world there is cash, and I have some secure cash stash, I can pay if I lost my phone, or with no battery. I can pay if my bank account is blocked by the bank. If it's in the red. If there is an outage on their app. I can pay if I've been robbed of my wallet and phone. I can pay if there is no electricity or no internet. I can even pay if war is declared, if I'm under bombs. I can buy illegal drugs, illegal plant seeds, illegal literature, and illegal human services.
Remember when visa prevented us to send money to wikileak? It was not illegal to do so in my country, and it was my money, but they just said no. Yet I could pay in Bitcoin, that I could buy with cash.
No-cash societies make everything easier when everything goes according to plan. When you fit in the box, and the box is not broken. It's why it feels so great, because day-to-day life is mostly this, for most people.
But the lack of alternatives will make you feel helpless the day you really need it. Cashless has never been about convenience, it's about deleting those annoying grey areas, inch by inch. It's about control.
It's not a new thing for China. The first time I went there, I was 17 years old, and there was no internet. So the state appointed us a state guide, and she was following us everywhere during the whole time, to make sure "we were safe".
Now China doesn't need to do that anymore. They know everything you do at any moment except in the remote countryside. And they can push a button if they want to stop you.