While this is true, crypto is a little more than that with the potential to bring more social value if given a chance. There are many reasons worldwide to support this claim. The reasons help showcase cryptocurrencies as a force for world betterment.
Cryptocurrencies as a Global Force for Good
There are many reasons to support why cryptocurrencies are a force for good in the world. Some of these include:
Crypto as the Future of Money in a Developing World
Cryptocurrencies have also solved many issues around the developing world. This has inspired skeptics to change their minds. They have now become more open to the potential of digital currency in becoming the future of money. Cryptocurrency boasts of an ingrained protection against falsification of identity and fraud. This is through its blockchain ledger technology.
There is also the element of increased transparency in transactions. All the blockchain users have a public address assigned to them. While the addresses cannot identify them, they are open for view by anyone. You can check the address of the owner’s holdings and transactions, thus transparency in the financial system. Compared to money, it is also cheaper to perform crypto-related transactions across countries. This coupled with the absence of government intervention gives crypto an advantage.
Identity may not appear as a cryptocurrency. Yet, it bears significant value to the person who owns the digital assets. Cryptocurrencies are shareable to other people in a controlled fashion. It retains the right to work. It also has applications in facilitating education, healthcare, financial services, and benefits. For instance, organizations install plenty of value measures for the benefit of refugees.
Financial Freedom to Unbanked People
Cryptocurrencies are an enabler for increased financial inclusion. This especially concerns developing countries. Developing countries feature a huge unbanked demography. This population has little to no access to financial services. This is due to difficulty in saving, storing, or sending money. Such people can be an active part of the digital financial world. This is through the transformative help of digital wallets within their mobile phones.
Cryptocurrencies are also a tool for good environmental protection. Companies such as Poseidon use it for forest conservation. In this regard, Poseidon employs smart contracts in managing carbon credits life cycle. They also apply smart contracts in managing the ocean utility token. This facilitates the efficient settling of transactions on carbon credit. Utility tokens enable access to certain services over their operating platforms.
Hastening Crowdfunding and Charity
Globally, digital currencies enable bigger and faster investment in innovative projects. The best example of this is in crowdfunding. Crowdfunding has been very useful in helping startups double their growth. Innovative startups and growth organizations have an easier access to an international investor base. This is because crypto-related transactions are very fast. As such, cryptocurrencies have a role to play in empowering entrepreneurs. It is a powerful enabler to finance their business ventures.
Meanwhile, there is also the force due to smart contracts. This ensures money goes to pre-defined products and receivers. It promotes support to charitable causes. This is through developing significant trust for charities and charitable brands, which is very important in the philanthropic space. Now, platforms and organizations can give a percentage of their transactions towards charity.
Cryptocurrencies, when combined with smart contracts, are an enabler for building social trust. At the same time, they enable fighting corruption. This is by means of facilitating a transparent contract system. Citizens can use the accessible information of the digital currencies. This is available within the blockchain. They can use it in monitoring how the government uses state funds. When this happens, governments would be more inclined to check their spending. They would also improve budget allocation.
Possible Driving Forces for Bitcoin Developers
As it stands, the world is already seeing the social-impact solutions of cryptocurrencies. Without crypto technology, these solutions would have been absent. Among them include enhancing a sustainable speed through which aid gets transferred. There is also the provision of safe government services. If well applied to the ideal use-cases, it is possible to see crypto take the place of the internet. This will be best seen in industries and manufacturers’ access to data. Better still, we may well witness crypto replace mobile technology in connecting people. These could have been the key concepts for when Bitcoin was being developed.
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