I don't think it's necessarily unreasonable to say that anyone seeking a business license for a physical premise must agree to accept cash, but there are very real business reasons to avoid cash payments. Cash handling can incur significant costs.
Yes, I just don't think it's really accurate to characterize other payment devices as unrelated to a business's core service. Their core service is providing goods in exchange for payments, and they have legitimate reason to want to avoid cash payments.