According to Forbes, The Wealth between the Black and Latino families could reach zero by 2053. Ditionally, black Americans lag behind on the wealth scale but adoption of cryptocurrencies, especially bitcoin, education, and dollar-spending averages could allow that narrative to change.
For African Americans, investing in Bitcoin has become a “what I have to lose” scenario. There is now a lot of information about the impact of wealth inequality and how it affects African Americans which is shocking to say the least. The wealth gap in the Black & Brown community has widened through Jim Crow’s segregation, redistribution, mass captivity, high unemployment and lack of financial literacy. Bitcoin is not centralized by any entity, corporation, individual or country, meaning it is not controlled by any single authority or operated in one place. This lack of centrality eliminates the fundamental flaw of bias. It doesn’t matter how Bitcoin looks to you, what culture you come from, your gender or your religious background.
For this reason, Bitcoin is attractive to those who are generally deprived of access to resources, such as African Americans and other groups from different backgrounds. Adoption is growing among these demographers; A recent Harris poll found that 30% of black and 27% of Hispanic investors in the United States own cryptocurrencies, with only 17% of white investors. Even outside the United States, in places like Nigeria, Bitcoin trading volume and remittances are highest on the continent, which is the main driver of adoption.
Being zero through non-conventional education
Typically, financial literacy is taught and passed on to each generation. I can say for myself that the discussion of money happened on two occasions: when you didn’t have it and when someone owed you something. I also had to learn about Bitcoin in this strange situation, when trying to dispel my thoughts. Many African Americans fall behind in educating themselves about the basics of bitcoin and financial literacy, but that is also changing.
Due to this lack of access, people in the African American community are using unconventional methods to learn about bitcoin and blockchain technology. Learning the intricacies of bitcoin is not just a walk in the park, even for those who are tech savvy. In my opinion, Isaiah Jackson’s “Bitcoin and Black America”, Will Hobby’s “Bitcoin and Black Powernomics” and Justin Reddrick’s “Bitcoin from Four Bars” are subtle places to learn about Bitcoin from a black perspective. The biggest focus for African Americans on social media applications like Clubhouse is a network of educated and like-minded people who have focused on crypto.
Clubs like Black Bitcoin Billionaires, Crypto for Black Economic Empowerment and Crypto Church have attracted hundreds of members. This hybrid cross between a podcast and a call-in radio network discusses a wide range of topics, including your investment knowledge is zero where anyone from anywhere can ask questions or suggest things like Bitcoin.
Long-term digital savings
In honor of America’s historic Black Tulsa, once the center of America’s black wealth, well-known actor and author Hill Harper has launched a fin-tech app called Wall Street কেন্দ্র the center of black business in Tulsa’s Greenwood District, Oklahoma, which was destroyed in an ethnic attack. Harper encourages all African American investors to buy Bitcoin from the app in the long run through a dollar-cost average. “We need to encourage black ownership and that’s what we want to do on the platform,” Harper said. We’re starting with a digital wallet and the ability to start learning financial literacy, building a community and allowing people to invest. ”
The average black family has 38 38,300 in their 401 (k) account at retirement. The average white family retires with an average of $ 168,000 in their 401 (k). This is why Bitcoin should be considered as an investment savings for people of color. Statistically, it is difficult or absolutely impossible for many African Americans to save money. Many Americans have less than three months of savings in an emergency.
Bitcoin on the other hand is non-confiscated and there are no barriers to entry. Bitcoin is a good savings technology when used from a long-term perspective. Traditionally, people in the Black and Brown neighborhoods have been selling snake oil schemes to gain wealth and save money and sell them without banks. Check out Caser and Pay-Day loan businesses in the Black and Latin areas across America. Over the years, this has led to distrust in banks, lack of savings and debt. Bitcoin fixes the wedge between wealth gaps and is quickly becoming Plan B to secure asset value for many African Americans.
Buying a whole bitcoin is quite expensive but not buying fractional shares. You can start with as little as 2. If you save ড 10 a week for 50 weeks, that’s equivalent to 20 520, which can get you more than half a million satoshi at the current bitcoin price. This is a good and cheap way to gain exposure to Bitcoin and save at the same time. For people of many colors, risk tolerance is low, so the dollar-cost average allows them to withstand the volatility of bitcoin price changes. In the long run, Bitcoin has performed 200% over the past decade. Banks cannot guarantee the return of such savings to its customers, so we see a massive exit from banks to Bitcoin.
Bitcoin is a treasury reserve asset that is incomparable, and I believe that African Americans are waking up to the fact that accepting bitcoin will catch up with their wealth. Lightning network will make remittance transfer very easy. One thing you can’t destroy is an idea, and Bitcoin is proving that it’s better than gold, stocks, bonds, commercial real estate, equities, silver, whole lots. I believe this form of cross-generational wealth has begun to take hold here as an idea to stay within the black community and to close the wealth gap in a real sense.
This is a guest post by Dawood M Amantan. The opinions expressed are entirely their own and BTC, Inc. Bitcoin Magazine.