The growing need of encouraging a cashless society has enabled various forms of electronic transactions. However, the acceptance of such technology especially e- wallet is quite low in most developing countries. Government authorities, especially in Malaysia, are taking necessary action to encourage the use of such technology. This is because, most people are not aware of the benefit of e-wallet, nor do they perceive them to be useful as they heavily rely on physical cash in performing their day to transactions. Government policies such as government incentives could encourage them to shift to e-wallet. Due to the scare of study on this topic, the present study contributes to the literature by examining the effect of awareness benefit, government incentive, perceived ease of use, and perceived usefulness on customers’ intention to use ewallet in Malaysia. To give more fruitful insight, one good contribution of this study is investigating the mediating role awareness benefit on government incentives and perceived usefulness. Questionnaires were distributed online to the respondents by using a proportional sampling technique. As a result, a total of 180 users of electronic wallet from Malaysia were collected. Such a country was selected due to the current government policy in supporting e-wallet usage with the ePENJANA credits scheme which supports e-wallet service providers such as BoostPay, Touch N’ Go e-wallet, and Grab Pay. PLS-Structural Equation Modeling (SEM) approach was employed in examining the research hypothesis. The results show that government incentives positively affect awareness benefits. Government incentive positively affects individual intention to use e-wallets. Likewise, awareness benefit positively affects both intention to use and perceived usefulness. Besides, that awareness benefit mediates the relationship between government incentives and perceived usefulness, and also mediated the effect of government incentives on the intention to use e-wallets.