Blockchain technology has the potential to transform many areas of our lives. And this includes the way we think about and address the various social issues related to poverty.
It’s no secret that poverty is an exceptionally complex issue that requires a varied and multi-faceted approach. For example, when it comes to education, women in Afghanistan banned from attending schools for several years. This forced many to continue their education online with the help of tamper-proof blockchain technology.
Below are more ways in which blockchain technology could help us to effectively address poverty around the globe.
A leading cause of poverty around the world is a lack of access to financial services.
According to research conducted by the World Bank, roughly 1.8 billion adults do not have access to banking services.
The answer to this problem is blockchain technology. Since it operates on a decentralised platform, it functions independently from traditional banks and financial institutions. As such, it can allow people access to financial services without the need for banks and other credit providers.
Blockchain technology can even facilitate micro-payments, meaning it can pay for things like utilities and groceries.
By making use of blockchain technology, governments can ensure that humanitarian aid and general resources are delivered to those most in need of help. This can completely eliminate corruption.
Blockchain can even ensure that workers are paid fairly and ethically, thereby eradicating labour exploitation.
The World Bank also recently revealed that around 1.1 people around the globe lack a legal identity. This can be particularly challenging when it comes to accessing services like healthcare, banking, and even education.
Not only can blockchain help those without a legal identity to access services, but it can also help prevent identity fraud.
Social impact investing refers to the act of investing only in those companies and projects that have a proven social or environmental impact. This is a super effective way to address poverty by promoting access to healthcare and education, creating jobs, and even boosting ongoing economic development.
Blockchain technology can ensure that investments are used for their intended purpose. This will make it so much easier for investors to monitor the impact of their investments.
When disasters strike, it can be very difficult to get help and humanitarian aid to those who need it the most.
Blockchain technology can:
Thanks to blockchain technology, education for everyone is finally possible.
This is because blockchain makes it possible and viable to create a decentralised platform for teaching and learning. Student credentials can be verified, educational content can be delivered automatically, and there can finally be a truly global collaboration among students, teachers, and researchers.