Cryptocurrency and Blockchain are hot topics in the media, but the question remains: why did cryptocurrency fail to capture the imagination of developing countries? The answer lies in its culture. Cryptocurrency is for the rich, not for everyone. You are lucky if you have a Bitcoin crypto exchange because it has a lot of benefits.
Lack of understanding of Blockchain & Cryptocurrency
Let’s start with the history of Blockchain, a technology that allows people to send money without needing a third party. This is revolutionary as it means you can control your assets and do business directly with other individuals on the network.
Blockchain was invented by Satoshi Nakamoto in 2008. Still, it didn’t catch on until 2016, when Bitcoin became popular worldwide because it offered an alternative way to store value without relying on banks or governments. Cryptocurrency also uses blockchain technology, but unlike Bitcoin (BTC), Ethereum (ETH), etc., cryptocurrency has no real value outside its usefulness as a medium of exchange online – meaning none! So why would people want their money invested in something that isn’t backed by anything? It makes no sense unless you think about what kind of future this could bring us down from here on out…
Lack of adoption by governments
Governments are slow to adopt new technologies.
Governments have been slow to embrace cryptocurrencies and blockchain technology, even though they can be a great way to improve the transparency of government operations and reduce corruption. For example, some countries have banned ICOs (initial coin offerings) because they don’t want people investing in projects that might be fraudulent or illegal.
Some regulations make it difficult for businesses or individuals who want to use cryptocurrency services outside their own country but still pay taxes on profits generated from those transactions via regular banking channels—even if those profits were made inside another country!
Developing countries’ digital infrastructure is lagging behind.
The digital infrastructure in developing countries is not up to the mark in terms of speed and bandwidth. This can be attributed to several factors, including:
- Limited access to high-speed internet (the average rate for fixed-line broadband in India was around 2 Mbps in 2017)
- High costs involved with obtaining access to broadband networks that offer speeds higher than 100 Mbps
The lack of competition in the broadband market is another factor that leads to poor internet speeds. In many developing countries, only a handful of providers offer internet access at high speeds. This is because many providers operate as monopolies or duopolies, limiting consumer choice and increasing prices.
Crypto is not appropriate for everyone.
Many do not want to be involved with cryptocurrency. The main reason is that it’s not appropriate for everyone and should only be used by those who understand the risks involved. This can include investors, online gamblers, and people who want to avoid government regulation.
Investment opportunities in crypto are limited at best, and there are no guarantees that you’ll make money when you invest in cryptocurrencies; even if you have a good idea of what coins will rise or fall in value over time, there’s still no guarantee that they’ll increase rather than decrease in value over time (this happens all the time). Even though some countries have started accepting cryptos as legal tender—which means they’re accepted as payment by law—most governments don’t recognize any virtual currency outside of FIAT currencies (the US Dollar). Therefore, if your country isn’t willing yet,, why would it ever want anything else?
Developing countries need more time to adopt the cryptocurrency culture.
The cryptocurrency culture has not yet reached the developing world. This is because cryptocurrency is a very new technology, and it will take some time for people in developing countries to understand it.
The main problem with crypto adoption in developing nations is that there are few places where you can buy or spend bitcoin or other cryptocurrencies. In addition, most countries do not have banks where users can deposit their money into an account, so they can use it as payment for goods or services online (i.e., shopping). These two factors make cryptocurrencies less useful for people living in these regions than they would be if they had access to traditional payment systems such as debit cards or credit cards, with which you could make purchases using cash instead of having to pay in installments over time which makes it more expensive overall because your spending habits tend toward frequent small amounts rather than large ones (meaning less money spent overall).
Even though there has been progressing in Africa and other developing nations, a lack of knowledge about cryptocurrencies and restricted access to digital infrastructure continue to hinder these regions’ economic development. However, this trend is gradually changing as more individuals become aware of what cryptocurrency can do for them.