Cryptocurrencies have long been discussed and debated, but they’re only now coming to light as financial tools that can be accessible and useful to more than only die-hard connoisseurs. Cryptocurrencies have the potential to enable social and economic growth
throughout the world, including in developing countries, by offering easier access to capital and financial services.
Cryptocurrencies and Bitcoin in particular have a highly utilitarian, yet also disrupting quality that has slowly, but steadily started to interfere with the way the traditional financial system works.
1. A Beneficial Rise in Economic Activities
There is already an entire industry built around cryptocurrencies and it’s held by institutions dedicated to supervising all the digital coin exchanges taking place throughout the world. The rate at which the cryptocurrency industry is growing is earth-shattering
and this can be confirmed by early adopters that became rich overnight and found opportunities to grow financially. Bitcoin, the most famous of these cryptocurrencies, has already permitted many people and companies to develop and flourish, while many also
rely on trading as their source of income. The economy is slowly shifting to adapt to these needs and cryptocurrencies have a great potential in satisfying them.
2. Great Opportunities for Poorly Banked Countries
More than a third of the world population does not have access to
basic banking services that can help them out in case of a personal financial crisis – loans, checking accounts and the list can go on. These people that in most cases are already financially disadvantaged typically resort to doubtful and dangerous lending
practices. The interest rate of these practices is anything but fair, which consequently leads to more instability among the people who requested the loan. This is where cryptocurrencies come in with their high volatility and ease-of-use.
There are now many apps and programs that facilitate the…