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9 essential finance terms you must know

March 7, 2023 Coin Telegraph

Boost your financial literacy with nine essential terms. From interest to assets, improve your money management skills.

Financial literacy is a critical life skill that can have a significant impact on an individual’s financial well-being and overall quality of life. It is important for individuals to continuously educate themselves on financial terms and concepts to make informed decisions and achieve their financial goals.

Financial literacy is important for a variety of reasons:

Making informed financial decisions: Those who are financially literate are able to make wise financial decisions that are consistent with their aims and values. This involves choices on how much to spend, save, invest and borrow.
Avoiding financial pitfalls: Financial literacy can assist people in avoiding typical financial risks, such as high-interest debt, excessive spending and investment fraud.
Creating long-term wealth: By knowing how to efficiently save and invest, people with financial literacy can help generate long-term wealth. Understanding ideas such as compound interest and diversification is part of this.
Enhancing quality of life: Financial literacy can enhance your quality of life by lowering stress brought on by financial uncertainty and giving people the abilities and information they need to reach their financial objectives.
Contributing to the economy: Financial literacy can also contribute to the overall health of the economy by promoting responsible financial behavior and reducing the risk of financial crises.

Teach your children how to be financially responsible. It doesn't matter how great an inheritance you leave them, they will squander and waste it if they lack wisdom.#FinancialLiteracy pic.twitter.com/Z18e0ysuzQ
— Mwenda Thuranira (@mwendathuranira) February 27, 2023

Here are nine essential finance terms that everyone must be familiar with.

Budget

A budget is a plan that outlines expected income and expenses over a period of time. To keep track of spending and make sure that money is being spent responsibly, a budget is necessary. A monthly budget might, for instance, contain revenue from a job and costs for things, such as rent, utilities and groceries. A budget can assist people in better managing their money and preventing overspending.

Interest

Interest is the cost of borrowing money, usually expressed as a percentage. Depending on the type of loan or credit instrument, the interest rate may change. For instance, a credit card may impose an interest rate of 18% on outstanding balances. To avoid taking on high-interest debt and to make wise borrowing decisions, it is crucial to understand interest rates.

In the context of cryptocurrencies, “interest” can refer to two different things, including interest earned on crypto investments via staking and interest earned by lenders on their crypto holdings by lending them out to borrowers.

Credit score

Based on variables, such as payment history, credit utilization and length of credit history, a credit score is a numerical indication of a person’s creditworthiness. A high credit score can lead to better terms on loans, credit cards and other financial items. For instance, a Fair, Isaac and Company (FICO) score of 700 or higher is generally regarded as favorable.

Since cryptocurrencies are decentralized and unrelated to established credit systems, there is no exact analog of a credit score in the realm of cryptocurrencies. Yet some cryptocurrency borrowers and lenders may determine creditworthiness using alternative credit scoring models built on blockchain technology.

A cryptocurrency lender, for instance, might assess a borrower’s creditworthiness based on their blockchain transaction history, taking into account details such as their payment history, the volume and magnitude of their transactions, and how long they have had their crypto assets. Additionally, some cryptocurrency lending services might ask for cryptocurrency as collateral from borrowers, which might reduce the chance of default and give lenders more protection.

Cryptocurrency

Cryptocurrency refers to a digital or virtual currency that uses cryptography for security and operates on a decentralized, blockchain-based system. Cryptocurrencies such as Bitcoin (BTC) offer an alternative to traditional fiat currency by allowing peer-to-peer transactions without the need for a central authority and can be used for a variety of financial transactions, such as buying goods and services, investing, and sending and receiving money across borders.

Asset

An asset is a resource with economic value that can be owned or controlled. A digital asset, such as BTC, or another cryptocurrency, that can be purchased or traded on a platform built on a blockchain is referred to as an asset in the context of cryptocurrencies.

Similar to conventional assets like equities, bonds or real estate, these digital assets are frequently viewed as a store of value. However, cryptocurrencies are a high-risk investment since they are frequently quite volatile and can undergo large price swings.

A lesson I learned in my 30s I wished I learned in my 20s is:

Stop chasing money, status and liabilities.

Accumulate assets. Live like you're broke.

Then enjoy freedom in your 30s instead of in your 60s.
— Jay (@JayBWealth) March 1, 2023

Liability

A liability is a financial obligation or debt that an individual or organization owes to another party. A liability in the context of cryptocurrencies refers to any obligation that an individual or organization has to pay back or return cryptocurrency.

For instance, if someone borrows cryptocurrency from a lender, they would be responsible for paying back the borrowed cryptocurrency plus interest to the lender. Similarly, until the customer receives their money back, all funds held by a cryptocurrency exchange would be seen as a liability.

Net worth

Net worth is the total value of an individual’s assets minus their liabilities. A positive net worth indicates that an individual’s assets exceed their liabilities, while a negative net worth indicates the opposite. Understanding net worth is important to assess financial health and plan for long-term financial goals.

Inflation

Inflation is the rate at which the general level of prices for goods and services is rising. Over time, inflation can reduce the purchasing power of money and have a substantial impact on savings and investments. For instance, if inflation is 2%, a $100 purchase made today will cost $102 in a year. To make informed financial decisions and prepare for the future, it is crucial to understand inflation.

Diversification

Diversification is a risk-management strategy that involves spreading investments across different assets or asset classes. Over time, diversification can help lower risk and boost profits. To lessen the risk of losses in any one sector, an investor can diversify their portfolio by making investments in stocks, bonds, cryptocurrencies and real estate. In order to reduce investment risk and amass long-term wealth, it is crucial to comprehend diversification.

Education is key to financial freedom, says Bitcoin advocate Najah Roberts

February 15, 2023 Coin Telegraph

Activism

The Agenda podcast discusses the importance of financial literacy and education in Part 2 of a conversation with BTC advocate and entrepreneur Najah Roberts.

Can Bitcoin help Black Americans build wealth in a country that has historically and intentionally prevented them from doing so? The Agenda podcast recently sat down with Najah Roberts, a Bitcoin educator and entrepreneur, to explore the question.

In Part 1 of the conversation, released on Feb. 1, Roberts told hosts Jonathan DeYoung and Ray Salmond that Bitcoin (BTC) might be the greatest opportunity Black Americans have had to close the country’s wealth gap. She stressed the importance of communities having financial sovereignty and control over their own money, which can help uplift entire generations.

In Part 2 of their conversation, released on Feb. 15, DeYoung and Salmond chat with Roberts about building financial literacy, the struggles of operating a community-focused crypto exchange, and how to work with children and youth to prepare them for the blockchain and technology revolution that is already underway.

Self-sufficiency and self-custody

While Bitcoin may offer a path to self-sufficiency, Roberts strongly believes that investment moves must be made in parallel with the best practices of financial literacy: “Never invest more than you can afford to lose. That is a ground rule.” She stressed that Bitcoin is not a “get-rich-quick” scheme — adding to “be very careful in what you invest in because all coins are not created equal, and most of these coins are created to extract money from your bank account.”

Roberts pointed out that financial literacy is rarely a topic taught in schools, and she believes that’s by design:

“If they have people that don’t know better, they won’t do better. And they continue to have people that will work in this country and not really understand that they’re working for money instead of allowing money to work for them. And so the select few that get that memo, they do well. And so, as we continue to get into this new digital space, education has got to be the foundational piece for both children and adults.”

Roberts pushes the importance of education with her brick-and-mortar Bitcoin exchange, which has two elements: The Bitcoin Banq is the for-profit exchange, while Crypto Blockchain Plug is an associated nonprofit educational center that teaches people the ABCs of BTC. However, the entities’ focus on self-custody and not holding customer assets has caused some challenges for Roberts, who explained that it was hard to find a banking partner:

“They told me I had to have $1 million a day minimum. I don’t hold $1 million a day. I’m not doing some of the things that some of these other exchanges are doing to ensure that they’re padding their pockets, because we immediately take the money from the individuals, and we immediately give them their Bitcoin. We’re not holding on to their Bitcoin. We’re teaching them day one to be self-sovereign.”

Crypto is for the children

While many adults remain skeptical about crypto — or simply don’t understand it — Roberts said that children and the youth often have an instinctual understanding of blockchain’s potential. She runs Crypto Kids Camp, an educational program for children and young adults in inner-city and rural areas, teaching participants about cutting-edge technologies like nonfungible tokens (NFTs), virtual reality, drones and more.

In Roberts’ experience, “Digital currency to them is like second nature,” as they are “already using it in video games. They’re buying stuff with Robux, and they’re doing all this other stuff already.”

At the end of the day, what Roberts wants to convey to both the kids and their parents is that learning new technologies opens up new possibilities for growth and success. “All of these things we’re bringing to the children’s mind early,” said Roberts, adding:

“Our children need to be made aware of these technologies so as they grow and as their parents watch them, they’re able to actually maneuver them into the space that’s most important to them and not actually what we want as parents or what we want as teachers, because that does not fare well. [...] What we want to do is expose children to every aspect of technology so that they can pick and choose what works or what they like the best. And then that parent can actually take that and have something to build upon.”

To hear more from Roberts, tune in to the full episode of The Agenda on Cointelegraph’s new podcasts page, Spotify, Apple Podcasts, Google Podcasts or TuneIn — and be sure to check out Cointelegraph’s other new shows as well.

The views, thoughts and opinions expressed here are the authors’ alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.

Is it possible to achieve financial freedom with Bitcoin?

February 5, 2023 Coin Telegraph

Coin Telegraph

Bitcoin aims to bring power back to the people. Beyond that, a calculated investment in Bitcoin can potentially bring one closer to financial freedom. But how does one do that?

Over the last 14 years, investors got attracted to Bitcoin (BTC) for many reasons— from fixing a flawed fiat economy and reaching the unbanked to diversifying portfolios. However, a large portion of the general public sees Bitcoin as a gateway to financial freedom amid growing fiat inflation and geopolitical uncertainties.

Traditional banking systems have, time and again, served as a tool for centralized governments to dictate financial access, especially during dire situations. Most recently, the Ukraine-Russian war served as a case study for how cryptocurrencies helped the displaced and the unbanked access funds for basic necessities.

As intended by the creator Satoshi Nakamoto, Bitcoin aims to bring power back to the people. This means that no amount of regulations, sanctions or bans can stop one from using Bitcoin as money. Beyond that, a calculated investment in Bitcoin has the potential to bring one closer to attaining their dream of financial freedom. But how does one do that?

Hodl

The massive volatility of cryptocurrencies coupled with the restlessness of an investor is a recipe for an instant loss. What many fail to understand is that Bitcoin — unlike cryptocurrencies — is a long-term investment. Hence, Bitcoin veterans recommend holding the asset during bull markets and buying the dips during bear markets.

Setting aside a few off years, Bitcoin holders witnessed a mean annual return of 93.8%, which at its best-performing year, spiked to 302.8%, reveals data from UpMyInterest.

*Historical summary of Bitcoin annual returns. Source: UpMyInterest*

As simple as it sounds, hodling (a crypto lingo for holding assets) has proved to be a difficult feat for investors. Some of the factors that trigger abrupt Bitcoin selling include an ongoing FUD (fear, uncertainty and doubt) and price movements.

While it makes sense in the short-term to earn profits off Bitcoin’s volatility, zooming out the price chart reveals there’s a long-term greater incentive in holding. Moreover, investors owning Bitcoin will always have the option to utilize this spending across geographical boundaries without losing value.

Dollar-Cost Averaging (DCA)

Considering Bitcoin as a viable long-term investment option, many investors tend to implement the dollar-cost averaging (DCA) strategy. This involves setting aside a predetermined dollar amount from a regular income to be reinvested in Bitcoin every month.

While El Salvador was initially criticized for adopting Bitcoin as a legal tender amid crippling inflation, the country could repurpose the resultant unrealized gains to fund social projects such as building hospitals and schools, among others.

With the Bitcoin bull run running out by 2022, El Salvador President Nayib Bukele followed a strategy similar to DCA, wherein the country would purchase 1 BTC every day.

We are buying one #Bitcoin every day starting tomorrow.
— Nayib Bukele (@nayibbukele) November 17, 2022

Back when Bukele announced his plan for a Bitcoin prescription, Bitcoin was priced roughly at $16,600, shows data from Cointelegraph Markets Pro and TradingView.

*Bitcoin price movement ever since Nayib Bukele announced plans to purchase 1 BTC every day. Source: TradingView*

Since then, the Bitcoin price has surged 40.46%, providing much-needed relief to Salvadoreans. Investors looking for financial freedom must delve into a similar strategy while being reactive to market changes and overall public sentiment.

Self-custody

When it comes to the long-term holding of Bitcoin, the key is not to trust any other third-party entity with the private keys of the assets. Investors who store Bitcoin on crypto exchanges unknowingly give away complete control of their assets.

Ever since the FTX fraud came to light, the case of self-custody grew stronger. Investors that suffered losses owing to the alleged misappropriation of funds realized the importance of self-custody. Maintaining ownership of the private key — via wallets (hardware/software/physical) — becomes paramount for those that seek financial freedom in its truest sense.

Will be sending an email every week strongly advising our people to never keep savings on any exchange, including @paxful This is the way ! Self custody your savings ALWAYS! pic.twitter.com/DI95Gaa5Y6
— Ray Youssef (@raypaxful) December 11, 2022

The FTX fallout also forced crypto exchanges to prove the existence and safety of users’ funds in order to avoid a low liquidity situation.

Binance Releases Proof of Reserves System | Binance Support https://t.co/pdA2OdvAKG
— CZ Binance (@cz_binance) November 25, 2022

Although hardware alternatives for crypto self-custody require an upfront investment, it is up to the users to choose an ideal method of storing the private keys — even if it means writing down the private keys on a piece of paper.

The three practices mentioned above — hodl, DCA and self-custody — form the main pillars of financial freedom. However, users are not limited from trying out any other strategies that can suit their unique needs.

Finally, to answer the question — yes, achieving financial freedom with Bitcoin is possible. Given the nascency of the crypto ecosystem, investors are advised to focus on the long-term benefits of Bitcoin while reaping short-term gains in the process.

Bitcoin advocate Najah Roberts explains why BTC is a tool for empowerment

February 1, 2023 Coin Telegraph

Bitcoin

The Agenda podcast explores the concept of financial sovereignty, Black American empowerment and the promise of Bitcoin with the revolutionary Najah Roberts.

If you ask 10 people what Bitcoin’s original purpose is, at least one person will say it’s meant to cut out the middleman, reduce the cost of transacting and empower those who might not have access to modern financial infrastructure.

While all of those boxes might be ticked, another phenomenon of financial technology, and technology in general, is that not everyone benefits equally from the revolutionary change it brings. Of course, this happens for a variety of unique reasons, some intentional and others unintentional, but the phenomenon of technological change leaving some people behind presents a rather unique question.

How can Bitcoin empower Black Americans?

In this week’s episode of The Agenda — a Cointelegraph podcast that explores the promises of crypto, blockchain and Web3, and how regular people level up and improve their lives with technology — hosts Ray Salmond and Jonathan DeYoung dig deep into the topic with Najah Roberts, an activist, educator and founder of several crypto-related organizations, including Black Bitcoin Billionaire, a brick-and-mortar Bitcoin exchange and a tech-focused children’s camp.

According to Roberts, Bitcoin (BTC) itself is the last great hope and opportunity for Black American empowerment; and for this reason, she has dedicated the last five years to spreading the good word of Satoshi Nakamoto and the basic tenets of financial literacy.

Bitcoin could be the road to freedom

As a base case for her raison d’etre, Roberts explained that:

“The Emancipation Proclamation was signed over 150-something years ago. And at that time in this country, Black people in America held less than 1% of the wealth. And here we sit, in 2022, and factually, Black folks in America own less than 1% of the wealth. [...] Bitcoin affords us the opportunity to have some self-sovereignty and to be able, for the first time in history, to have control of our money — because he who holds the money rules everything. And so if we are holders of our money, we’ll be able to rule our own lives. And I’m excited about that for our community.”

Roberts explained that financial self-sovereignty is paramount, especially in systems like in the United States where the tools and resources that lead to generational wealth creation have historically been denied to certain groups.

Roberts said:

“We’ve got to get self-sovereign because nobody’s looking out for us except for us, and we got to get that in our head. And that’s what we’ve been teaching the community. So, Bitcoin is just the first stepping stone. Again, he who holds the money holds the power. And so we want to hold our own money so we have power to do the things that we need to do, not only in our families but in our communities. Because when it boils down, everything revolves around the economics.”

Revolutions are not often televised

When asked about Bitcoin’s high volatility, the proliferation of scams in the crypto sector and whether or not it’s smart to advise people with limited financial literacy skills to invest in an emerging, risky asset like Bitcoin, Roberts hinted that the revolution would not be televised.

According to Roberts, literacy is the gateway to self-sufficiency, so her initial focus, and that of the digital underground, is to first help people understand the value of saving, regardless of how much they are able to save. She emphasizes concepts that revolve around compound interest and dollar-cost averaging, and in regard to volatility, Roberts reminds potential investors that time in the market is more effective than attempting to time the market.

“I am not teaching our community to time the market because time in the market is better than timing the market. So, I’m teaching our community to dollar-cost average. [...] Whatever it is that you are doing on a regular basis, continue to do that, but just add some satoshis to your portfolio. So, if you’re going to Starbucks seven times a week, I’m not telling you don’t go to Starbucks — I’m saying go six instead of seven, or five instead of seven, and take that $6 from that coffee and buy yourself some satoshis.”

The views, thoughts and opinions expressed in this podcast are the participants’ alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.

Accessibility is the main barrier to crypto adoption — Here are the solutions

May 15, 2022 Coin Telegraph

Coin Telegraph

Cryptocurrency accessibility is inhibited by a lack of financial and crypto literacy created in part by the wealth gap, technostress and overuse of jargon.

Accessibility is a pain point for cryptocurrency adoption that has been discussed for years, yet still, it is pertinent as ever. This issue was most recently recognized by the United States government as we’ve seen Treasury Secretary Janet Yellen discuss during her remarks on digital assets policy and regulation. There are barriers that are limiting accessibility to cryptocurrencies, such as financial education and technological resources, and it is our duty as developers and leaders in this revolutionary industry to address them.

Studies have shown that only 33% of adults across the globe are financially literate. With many projects in the decentralized finance (DeFi) space focusing on providing individuals without access to traditional financial institutions and tools for earning, saving and transacting, this is a key consideration.

Traditional financial institutions certainly have additional barriers that cryptocurrency projects are bypassing, such as requiring documentation, lofty fees and a general lack of local financial institutions in emerging markets. With that said, even DeFi requires knowledge and understanding of money to comfortably enter the space. Comprehensive education on the building blocks of finance, from tips on savings to market fluctuations, is crucial to encourage those who have felt excluded by traditional finance to enter the DeFi world.

Cryptocurrency education and technostress

Another educational component necessary is cryptocurrency and blockchain education. New technology of all kinds can be overwhelming and confusing to potential new users — it’s so common that the term “technostress” was coined to diagnose this issue.

Highly technical language and frequent use of jargon are two issues I’ve witnessed in the space that deter the crypto curious from diving into the world of DeFi. Providing resources that break down the essentials of blockchain technology, whether they are blog posts or explanatory videos, helps to bridge the large gap of knowledge between developers and everyday individuals. While this is an important start, the unfortunate truth is that education also requires one crucial and very limited resource — time.

The time and energy it takes to learn the ins and outs of blockchain and cryptocurrency technology can be a major barrier to developing a deep understanding necessary to enter the space. While providing easy, simple educational tools is beneficial, it serves an admittedly limited population. As a result, financial literacy and crypto education remains important, but there are other steps developers and leaders must take to enable user adoption. Project leaders should also consider the knowledge gaps as they design their platform and build out messaging. Using simple, concise language that will resonate with all audiences is key to welcoming new users.

How the wealth gap serves as a barrier

As mentioned, the wealth gap presents many challenges for lower-income individuals to enter the space. In addition to a lack of access to and time for education, limited liquidity is another massive barrier to entry.

In order to invest, individuals must be able to cover their living expenses with additional money to allocate elsewhere. For those living paycheck to paycheck, or even those who simply do not feel comfortable risking their resources on investments, they are far less inclined to put money into investment accounts.

This is especially true with digital assets since they are newer and less regulated than traditional investment avenues. Undercollatoralized loans will enable those with less liquidity to invest in the space, serving as a major driver of mainstream crypto adoption. Projects, such as Teller Finance, that allow individuals to borrow crypto assets without posting collateral are moving the space forward. This space will continue to grow and is necessary for increasing accessibility.

How leaders and developers can navigate these barriers

As developers focus on simplicity and ease for users, their platform must reflect those considerations. Onboarding is the first step for any curious potential new user, so ensuring that sign-on is intuitive is your opportunity to create a lasting first impression. If there are many complicated processes to set up an account, people will understandably not want to move forward. Easy Know Your Customer identification, rather than laborious protocols, is one way that projects can enhance their onboarding experience.

Another step for projects to take is building out a robust network of partners. Depending on the project, this could be compatible blockchains, integration with decentralized applications, or joining initiatives like Celo’s DeFi for the People that aim to increase real-world use cases. There are so many projects in the space, often with limited interoperability, which means that users have to juggle many different accounts and applications. Making your platform as expansive and interoperable as possible means providing users with countless ways to use your platform through compatible programs, which in turn encourages them to utilize your offerings.

The blockchain industry’s continued growth requires a steady flow of new users within the space. To do so, we as an industry must develop projects with new users in mind. Offering educational content is the first step to building a foundation that will allow us to revolutionize the economy.

Bearing in mind that this does not serve every user, and finding additional ways to incentivize new users to join the space is crucial. Offering uncollateralized loans helps to bridge the wealth gap that we have seen throughout crypto’s progression and increased adoption. Keeping your audience in mind every step of the way, from design to messaging, to the offerings that you provide, is of equal importance. The ultimate goal is for blockchain technology to be embedded within applications to the point where users don’t even need to know that they are on-chain. When our applications are as intuitive and understandable as the traditional financial tools that users have downloaded by the millions, we will see an increase in users like never before.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

The views, thoughts and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.

Fabrice Cheng is the co-founder, CEO and chief technology officer at Quadrata. He was previously the head of blockchain technology at Spring Labs. Fabrice is an experienced technologist and has been building in the Ethereum ecosystem since 2016, with a particular interest in how to extract value from the mempool, and he’s also an Ethereum 2.0 open-source contributor at Prysmatic Labs.

3 questions on financial literacy Bitcoiners flunk: Bank of Canada

April 22, 2022 Coin Telegraph

Bank of Canada

“In particular, Canadians who were young, male, employed, had a university degree, high household income and relatively low financial literacy were more likely to own Bitcoin."

A study from the Bank of Canada found that Bitcoiners on average have lower financial literacy than those who don’t own Bitcoin (BTC).

The study was compiled from four years of annual surveys from 2016 to 2020, with the sample sizes ranging anywhere from 1,987 to 3,893 respondents.

The Bank of Canada’s full study is titled “Bitcoin Awareness, Ownership and Use: 2016-20” and was published on April 19. A key conclusion from the study was that:

“Bitcoin owners displayed greater knowledge about the Bitcoin network than nonowners, yet they scored lower on questions testing financial literacy.”

However the financial literacy testing was based on just three multiple choic questions that focused on interest rates, inflation and stock/mutual fund comprehension. The three Bitcoin questions focused on supply, the digital ledger and whether the network is backed by the government or not.

Given the limited number of questions the idea they can accurately gauge someone's financial literacy is arguable. On the other hand, the questions are pretty easy.

*Questions on financial literacy and Bitcoin: Bank of Canada*

The Bank of Canada’s researchers emphasized that the “interaction between financial literacy and participation in the market for crypto assets” is important to explore, as there are many risks associated with the sector that could be potentially avoided via further education.

Bitcoiners

The data found that over the four years, the average Bitcoin hodler fell in the demographic of young males aged between 18-and 34, and men accounted for at least double the number of women each year. The gender gap has been a long-running and widely reported subject in crypto’s short history.

“Overall, marginal effects are consistent with descriptive findings already discussed. We find that the probability of Bitcoin ownership decreases with being female, older and unemployed, but increases with education,” the report reads.

In terms of a specific type of Bitcoin hodler, the report suggests that young educated men who scored low on financial literacy but earned more than $70,000 were the most typical type:

“In particular, Canadians who were young, male, employed, had a university degree, high household income and relatively low financial literacy were more likely to own Bitcoin.”

Non-bitcoiners

On the other end of the spectrum, those that scored high on financial literacy were “more likely to be aware of Bitcoin but less likely to own it.”

Notably, the reasons offered in the study for not owning Bitcoin that polled the most each year weren’t necessarily anti-Bitcoin, with a lack of understanding and current payment methods being satisfactory being the main answers.

After those two reasons, the next highest reason each year was that respondents didn’t “trust a private currency that is not backed by a government.”

“We find that between 2018 and 2020, the level of Bitcoin awareness and ownership among Canadians remained stable: nearly 90% of the population were aware of Bitcoin, while only 5% owned it.”

An individual survey from this study dubbed “Cash Alternative Survey” was previously reported on by Cointelegraph, with the report suggesting that Canadians with a lower level of understanding of finance could be twice as likely to invest in crypto.

BIS releases study of CBDCs and their role in financial inclusion of the unbanked

April 12, 2022 Coin Telegraph

BIS

The researchers from BIS and the World Bank identify common factors across nine central banks that face a variety of different challenges.

The Bank for International Settlements, or BIS, released a paper Tuesday on central bank digital currencies, or CBDCs, and how they can be used to meet policy goals for financial inclusion. The paper drew on interviews conducted in the second half of last year at nine central banks that are currently exploring retail CBDCs. It looked at common goals across a range of economic development levels and challenges to inclusion.

The paper identified two distinct approaches to CBDC. Some central banks saw digital currency as a catalyst for innovation and development while others expected it to serve as a complement to existing initiatives. All of the central banks emphasized the need for stakeholder education and acceptance, both among consumers and service providers.

Data privacy, and the related issues of money laundering and the financing of terrorism, were seen as top challenges. Servicing the vulnerable — children, the elderly and users with disabilities — was also named a priority.

Some challenges, such as geographical isolation and levels of digitization, varied in degree among the central banks, but several CBDC design features were highlighted as key to financial inclusion across the spectrum. Promotion of a two-tiered payment system with private-sector participants, interoperability across a multiple functions and borders, and adequate regulation were elements mentioned in this context.

The central banks discussed in the paper were those of The Bahamas, Canada, China, the Eastern Caribbean, Ghana, Malaysia, the Philippines, Ukraine and Uruguay. The World Bank also took part in the research.

The BIS has taken a strong stance on the place of the central bank in the emerging digital economy and the need for cryptocurrency regulation. It recently completed a successful pilot project, called Project Dunbar, with the central banks of Australia, Malaysia, Singapore and South Africa to create an international settlements platform.

Florida Governor Ron DeSantis Says State Is ‘Figuring out Ways’ to Allow Businesses to Pay Taxes in Bitcoin

March 24, 2022 Bitcoin.com

The Taliban will never understand crypto, according to founder of LEARN Afghanistan

December 2, 2021 Coin Telegraph

Afghanistan

Pashtana Durrani described the Taliban as "people who were fighting in rural and very mountainous regions" who don't have the proper background for modern financial literacy.

Pashtana Durrani, the founder of an organization working to make education available to women and girls across Afghanistan as the country remains under Taliban rule, said the Islamic fundamentalist group has poor financial literacy, especially when it comes to crypto.

In a Wednesday interview with political commentator Tommy Vietor from Pod Save the World, LEARN Afghanistan founder Pashtana Durrani said the international community — particularly the United States — should consider removing the sanctions imposed on Afghanistan and unfreezing funds controlled by foreign governments. According to Durrani, limiting foreign aid to Afghanistan through nongovernmental organizations (NGOs) and other entities gives the Taliban an advantage, as opposed to using the latest technology, including cryptocurrency.

“When I say unfreeze the assets, send it in cryptocurrency — the Taliban will never understand it,” said Durrani. “Send it to a private bank — they will never be able to access it [...] Taliban don't have bank accounts. Taliban were people who were fighting in rural and very mountainous regions. They had no time to go to a bank, fill out the forms and have that.”

*Pashtana Durrani speaking on Pod Save the World*

Following the almost immediate takeover by the Taliban in August, Afghanistan has faced a number of crises. In addition to the threat imposed by having armed religious extremists in control of the government, millions of Afghans are facing food insecurity and economic hardship. Many residents are still unable to withdraw cash from banks as the international community attempts to impose restrictions aimed at hurting the Taliban.

“The sanction is only hurting the people who had savings in the bank accounts. It’s hurting the teachers, it's hurting the students, it's hurting all those people who actually worked in the past two decades — it's never going to hurt Taliban.”

Many nonprofit organizations helping Afghan refugees relocate to foreign countries have asked for crypto donations using Bitcoin (BTC) and other tokens, but Durrani has called on using digital assets as a force for good in the face of what she considers to be ineffective sanctions. In the digital age, good samaritans have sometimes completely bypassed official sanctions imposed by the U.S. to donate directly to people impacted by war, famine, or other disasters in countries like Iran and Yemen.

“Afghanistan can be put into those great lists of [the Financial Action Task Force] and all that,” said Durrani. “It could be one of those countries where you just start using cryptocurrency — legitimize it, whatever — but at the end of the day you're hurting the wrong kind of people to punish the people who are in power.”

financial literacy