In October 2021, it was estimated that approximately 15% of the global supply of Bitcoin (BTC) was traded in Latin America. However, according to a recent report published by Crypto Literacy, 99% of participants from Brazil and Mexico failed to evaluate the underlying cryptocurrency. The adoption of cryptography is in full swing across the region – even on the rise – but people still lack a basic understanding of the technologies behind it and how to use them.

When this lack of basic knowledge about cryptocurrencies is seen in the context of emerging markets in Latin America, where the use of blockchain technology is making a real difference, it becomes a huge problem.

Latin Americans, who lack cryptocurrency, are at risk of losing their stash, which could provide a hedge against rapidly rising inflation in Latin America. In addition to decentralized applications (DApps), which provide people without bank accounts access to financial services from their mobile devices. In countries where remittances are an important stage of the economy, cryptocurrencies offer a faster and cheaper alternative to sending money across borders.

So how can we help the most disadvantaged people in Latin America access this life-changing technology? education.

Related Topics: Mass adoption of blockchain technology is possible and education is key

Unleash mass adoption through education
Education can remove three major barriers to widespread cryptocurrency adoption: financial literacy, trust, and security.

financial efficiency
Financial competence, or the lack of it, is not only an obstacle to cryptocurrency adoption, it is also an obstacle to the adoption of traditional banks. As of August 2021, nearly 50 percent of the population of Latin America and the Caribbean do not have a bank account and do not have access to a bank account or other financial services. In addition to living far from financial institutions, many people cite distrust of institutions as the reason for not having a bank. When there is little confidence, there is often a lack of understanding.

Related topics: Decentralized finance may be the future, but education is still missing

From personal experience, it is not uncommon in Mexico to hear stories of parents recommending their (adult) children to exchange their savings for US dollars and hide them in a safe place, rather than relying on that income in a financial institution. By building financial expertise around both broad economic concepts and more focused concepts related to blockchain technology, we can increase the credibility of financial institutions as a key pillar to facilitate mainstream adoption.

Confidence that education gains more than trust in financial institutions. It’s also about self-confidence: when people don’t understand the institutions and tools they interact with, they are more likely to make risky financial decisions. And they know it. Education can act as a kind of safety net, where people know what the rules are and what they should not protect so that they can understand how financial services fit into this regulatory framework.

Find out what’s more important
Cryptocurrencies have the potential to change the world, and those who understand them better will benefit greatly. When we know the power that education creates, it is important that the crypto world target the audience strategically in order to preserve the differences that already exist. Remote and underserved communities, as well as those with less access to traditional education, should be at the forefront of blockchain education.

For remote communities, we must create mobile-friendly learning experiences so that people can access educational materials from their phones without having to travel miles to get to the nearest city.

For those with less education, we must consider multimedia teaching materials that bypass the need for literacy by not assuming high level basic knowledge.

For women, mentorship programs and role models are key to creating engaging and inclusive spaces specifically designed to attract women into cryptocurrency.

On this topic: Women’s interest in cryptocurrency is growing, but the education gap remains

For a global audience, we must create resources in local languages ​​- Spanish and Portuguese in Latin America – to reach as many audiences as possible.

For all stakeholders, we must avoid creating financial barriers to education by relying on the long-term benefits of user growth through free and affordable education.

Source: CoinTelegraph