Bitcoin Adoption in Developing Countries: A Gateway to Financial Freedom
Crypto assets have been a lifeline for citizens of developing countries, where they have few financial services due to political instability and devaluing currencies. This is why people from developing countries are attracted to a decentralized payment system untethered by a government. People from developing countries can gain more control over their money and have easier access to their funds through Bitcoin adoption. DeFi offers a lower entry barrier compared to traditional financial institutions, and anyone with an internet connection can participate in DeFi.
Countries adopting bitcoin
- El Salvador
El Salvador became the first country to make Bitcoin legal tender in 2021 to uplift its citizens by making financial services and products more accessible to them.
- Nigeria
Nigeria has been a frontrunner when it comes to Bitcoin adoption. Several sources state that there is a 35% Bitcoin adoption rate among people between the ages of 18 and 60 in Nigeria. The limited access to traditional financial institutions is the main reason for the high adoption rate of Bitcoin in Nigeria.
- Kenya
Kenya leads the way in terms of Bitcoin holdings and other blockchain-related transactions compared to other African nations. The Bitcoin holdings of Kenya were responsible for 2% of its GDP in 2018, and their Google search results reveal Bitcoin is in the top ten searches.
- Vietnam
According to the 2022 Global Crypto Adoption Index, Vietnam ranked number one with a score of 1.0 out of 1.0. For comparison, India is in fourth place with a score of 0.663, still a significant gap from Vietnam.
You can now trade BTC to INR through ZebPay India’s largest crypto exchange.
Reasons for Bitcoin Adoption
- Alternative to a struggling fiat currency
Bitcoin has proven to be a practical store of value, making it attractive for people who do not want to lose the value of their funds. For example, Bitcoin can help you hold onto the value of your money if you are living in a country with a rising inflation rate.
- Reliable transactions
More businesses are accepting Bitcoin as a means of payment as a result of its wider global adoption. Platforms like Paxful enable their users to transact with over 350 payment options. For example, you want to use BTC in a store, but it does not accept it. You can convert your BTC into any one payment option on Paxful to complete your payment.
- Relief for the unbanked
Over a billion people around the world do not have access to basic financial services. The so-called unbanked can participate in Bitcoin and transact money with just a stable internet connection.
Which was the first nation to adopt Bitcoin?
Bitcoin was recognized as a legal tender by El Salvador in June 2021, and it became the first nation to do so.
Conclusion
El Salvador, Nigeria, Vietnam, and Kenya are showing how Bitcoin adoption is helping millions of people gain financial freedom. The popularity of Bitcoin in developing countries can be credited to its unique features, which help millions expand their financial freedom. Low transaction costs, easy accessibility, and the ability to counter weak fiat currencies are the main reasons for high Bitcoin adoption in developing countries.
How to buy Bitcoin in India?
You can buy Bitcoin through ZebPay. Join the millions of traders already using the platform. Download the ZebPay App through the playstore or the App store and enjoy seamless crypto trading on the go.
