My BFF had this at her wedding (in 1987). She's Polish. That's the only time I've seen it. Even she thought it was tacky, but it was a tradition--not worth arguing and upsetting her parents.
Some of the best weddings I've been to have been inexpensive affairs. One was at a campground, in a building (little more than a pavilion, but it had walls). They served pizza and Stouffer's lasagnas with salad, bread, etc. Music was provided by a DJ cousin. There were sports facilities--the groom and his "guys" even went canoeing during the reception, while other people played whiffle ball. The bridal party was all in lavender, but it was whatever dress they picked, so all different styles. We had a great time! There was so much laughter and love--and really, isn't that what the day is supposed to be about?
And, we always give cash. It's always appropriate, the couple can always find something to do with it (fill out registry items, buy lift tickets--heck, donate it to an animal shelter, it's all good!).