PwC pushes for blockchain adoption in developing countries
PricewaterhouseCoopers (PwC) has highlighted the need for blockchain technology to combat the ongoing issue of financial inclusion, which is gaining momentum.
“Financial inclusion remains a major challenge, with more than 1.4 billion people lacking access to an account or essential financial services,” the report said.
PwC champions blockchain for broader financial access
A recent report from PwC showed significant growth in innovative services in blockchain networks. PwC notes that this has played a vital role in enhancing financial inclusion.
One he specifically mentioned was the addition of a stable coin:
“There are currently around 200 different stablecoins available, providing users with the stability of traditional fiat currencies while maintaining the benefits of digital assets. The largest stablecoin is pegged to the US dollar.”
As many individuals in developing countries face limited access to formal financial institutions, it highlights the importance of providing alternatives.
Additionally, PwC estimates that approximately 3.55 billion people in developing economies have never participated in saving money.
However, PwC currently highlights the emergence of crypto platforms that facilitate the creation of digital wallets on blockchain networks, which allow users to store stablecoins and produce products.
This provides an alternative for individuals who do not have access to conventional financial institutions.
Developing countries will gain the favor of CBDCs
Additionally, 43% of individuals in developing countries have never made an online payment.
Meanwhile, a recent study by the CFA Institute found that central bank digital currencies (CBCCs) are gaining more interest in developing countries.
In developed countries only 37% of respondents indicated a preference for CBCCs, while in emerging markets the figure rose to 61%.
On the other hand, BeInCrypto recently reported that 130 countries, covering 98% of the world economy, are actively investigating the implementation of CBDCs. In addition, most of the G20 countries are strongly advancing their plans to introduce CBDCs in the coming years.
Meanwhile, thousands of customers and merchants have enrolled in the CBCC pilot in India. The e-rupee initiative is actively exploring the feasibility of a digital currency option.
In total, more than 20 countries are reportedly actively moving to launch CBDC pilot programs this year.
Disclaimer
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