The UN Children’s Fund has demanded that child protection be included in online child protection initiatives due to financial and exploitative threats from unregulated cryptocurrency markets.
The UNICEF report “Horizons for Children 2022”, which examines the impact of global trends on children, predicts further mass adoption of cryptocurrencies – “demonstrates the promise of greater financial inclusion and the need for new measures to keep children safe.”
The report shows that by the end of 2021, digital currencies had generated widespread interest in 87 countries, with most jurisdictions experimenting with their own versions of central bank digital currency. UNICEF expects similar growth in 2022, as stated in the report:
“In many countries, there could be a potential alliance between governments, big banks and investment firms against competing banks and blockchain-based finance.”
The economic pressure caused by the COVID-19 pandemic is also fueling the drive to adopt cryptocurrencies. Economic recovery in high-income countries will slow down but will continue this year despite future disruptions due to the pandemic, UNICEF says.
UNICEF also expects governments, major banks and investment firms to work with crypto and blockchain companies:
This development in the long term will require the emergence of national and international regulatory frameworks. While we wait to see which direction these trends take us, the implications for children are preliminary. ”
With the popularization of cryptocurrencies, UNICEF is recognizing the significant benefits of financial inclusion, “hassle-free cash transfers, and faster, more transparent and effective social assistance programs.”
However, the UN agency warns of threats to children’s well-being from unregulated markets, such as the stability of financial systems and shrinking government revenues.
The report calls for new child protection reforms and highlights some of the potential negative impacts of unregulated operations that support child trafficking, sexual exploitation, and the buying and selling of content that depicts child abuse, fraud, and extortion of children. In conclusion, UNICEF suggested:
“The time has come to start incorporating crypto and digital child protection tools into online child protection initiatives.”
On the subject: Countries that will use Bitcoin and cryptocurrencies will reach 1 billion by 2023: report
A Crypto.com report predicts that the number of global cryptocurrencies will reach one billion by the end of 2022. As reported by Cointelegraph, the number of global cryptocurrencies increased by 178% in 2021, rising from 106 million in January to 295 million in December. .
According to a Crypto.com report, “If we extrapolate the corresponding growth in 2022, we could reach 1 billion crypto users by the end of 2022.”