Can Cryptocurrency Really Eliminate Poverty?
The use of cryptocurrency can reduce the increasing poverty in the world. Since its inception in 2009, Bitcoin (BTC) has been turning the world upside down towards the concept of blockchain and digital currencies. The financial landscape in the world market by the industry and its ability to completely shake up the entire economy is coming into the limelight. People who are interested in crypto, including Bitcoin, are checking the trading app to learn how trading works and earn money.
Here, when we talk about cryptocurrency, it is getting a lot of discussion around the world with its profit-generating and huge success-providing capabilities. On the other hand, global economists believe that accelerating the growth of economic development with crypto and blockchain can end global poverty. Several major cryptocurrencies have the potential to enable economic growth and socialization around the world including in developing countries with ease of access to financial services and capital as Bitcoin (BTC) and Ethereum (ETH). But there are also some cryptos with which the dangers of mining have pushed most investors out of the market. In the past decade, there has been a special focus on DeFi as well as there has been a rapid increase in the development and research of blockchain technologies.
Poverty situation in the world
If we look at the last 2 years, people across the world had suffered a lot due to the COVID-19 pandemic, and as a result, the years of growth and progress have been completely reversed. Due to this pandemic, there has been a massive increase in unemployment and poverty among the global population. According to reports, there are more than 80 to 110 million people who have lost their jobs due to this pandemic. Most of these individuals are related to sub-Saharan and South Asian countries, where poverty rates are very high. New initiatives are being taken by the global welfare organization to overcome this poverty rate and get back on track with the Sustainable Development Goals. Those organizations are transforming society’s built relationships with nature, eliminating any form of discrimination, as well as unfair human rights legal frameworks that create disadvantages for these individuals to grow up in poverty. But all these efforts can be done through centralized rules, which can also take many years of court cases. Whereas if we turn to cryptocurrency and blockchain, they do not require any centralized rules and at the same time, they can easily provide access to financial services.
How poverty can be reduced with cryptocurrency and blockchain.
There are many benefits to cryptocurrencies that can completely change the lives of these individuals. Because crypto is completely based on blockchain technology, it cannot be controlled by any bank or central authority. It does not require fees or other simultaneous costs for any transaction. Available in digital currencies, it is a feature that provides people from developing countries the opportunity to increase ROI without any transaction, buy currency, and trade without any fees. Crypto coins can be sent immediately to people in case of a crisis. In general, aid in corruption by centralized financial institutions is prevented from reaching the end recipients. But on the other hand, if we talk about crypto, then by its use it can be ensured that financial and resource support in various volatile situations can reach the final recipients on time.
Cryptocurrencies have enormous potential to balance the state of the global economy. This can create a level playing field where one can easily access banking and financial services. Experts on bitcoin and other major cryptocurrencies agree that there is no hoax, and if started properly, all those individuals can achieve a high standard of living as well as poverty can be deleted.