If you accept Bitcoin reached a critical mass such that the needs of food, shelter and clothing could be paid to him, could reach the crucial point at which desplazase the national currency in many developing countries. In this scenario, many areas of the planet could bypass the banking infrastructure and other traditional channels to transfer money. Moreover, the outlook in developing economies such as Africa is perfectly positioned to jump to a new open thanks to Bitcoin financial paradigm.
Bitcoin bypassing banks
This bridge is described as a theory of economic development according to which in certain circumstances you jump from a lower or obsolete technology to go directly to the newest. We can take the example of telephone coverage in African countries. Land lines were never fully developed because at that time in Africa was jumping directly to the paradigm of mobile telecommunications. The entire infrastructure of the lines by land was bypassed by mobile technology.
Similarly to what happened with telephony, Bitcoin could empower Africa to bypass the banking structure of the western economy and go directly to the new financial paradigm. The request by the African is a mobile device with an Internet connection. So How are adapted to mobile Africans?
Mobile payments
The potential to provide financial services worldwide is amplified by the adoption of payment by mobile phone technologies such as M-Pesa, a company of remittances and microfinance services for Safaricom and Vodacom. M-Pesa has a 70% market share in Kenya and is becoming increasingly accepted in neighboring countries.
africa-movil-safaricomAccording to Mobile Payments Today, in 2002 only 3% of people across the African continent had mobile phone. That number jumped to 48% in 2010. In 2014, 70% of the continent's population had mobile phone market continues to grow .
Giving banking the unbanked
Globally, about 2.5 billion people lack a bank account at a financial institution. Access to financial services is linked to lower levels of poverty, reducing inequality and higher economic growth.
africa-movilIf a third of adults lack access to formal banking system, a bank account stored in cyberspace can be a catalyst for developing markets. Bitcoin could benefit Africa more than any other region in the world thanks to the huge amount of business opportunities that do not depend on a bank structure but are receptive to the use of mobile payment technology. The effect of bridging serve to push African economies out of stagnation and to the global stage.
Beyond simple mobile payments and access to the banking infrastructure, the situation of many African economies is the product of a bad economic and monetary policy. Zimbabwe's legacy with its sunken currency and inflation reaching a nauseating 231,000,000% in mid-2008, is a perfect example of how disastrous it can be to government intervention. The devastating effects of inflation, Zimbabwe has finally adopt the dollar as the main currency, a situation that remains today.
The advantage of Africa
Bitcoin may not be the definitive answer to the masses that are not within the banking system, but it is undoubtedly a step towards a brighter future. Governments in Africa have less freedom to impose economically stupid policies once Bitcoin is widely adopted by the population . Hot spots adoption will be most striking in the geographical areas where there is no reliable currency or a mature banking structure. Ahead of all the nations of the earth, African countries are those who are best placed to take full advantage of technology like Bitcoin.