Microsoft’s Bill Gates is one known in the past for expressing admiration for cryptocurrencies and in a recent video, he has done just that claiming that digital technology has the means to empower the world’s poorest.
Although the Microsoft principal founder has cooled to Bitcoin in recent years, there was a time he would express more upbeat remarks. In 2014, he commented to Bloomberg that: “Bitcoin is better than currency in that you don’t have to be physically in the same place and, of course, for large transactions, currency can get pretty inconvenient.”
Recently, Gates has been talking about the extreme end of the financial equation, sharing thoughts on the financial system, digital currency, human resources and poverty. Referring to what the cryptocurrency sector is calling the world’s “unbanked”, he suggested that the world’s poor may not have financial tools to go about their lives but that their labor and intellect shouldn’t be underestimated. An inefficient cash economy risks dragging them further into poverty.
Gates maintains that the transformation of underlying economics behind the status quo through the digitalization of money and related financial systems has the potential to directly help those currently living in poverty. It can also help to develop essential areas such as health and agriculture as it is already doing in some parts of Africa through various schemes such as Sun Exchange through their SUNEX reward tokens. Sun Exchange founder and CEO Abraham Cambridge made it clear that these schemes are a crucial springboard for those living in poverty or without banking:
“Together, we are working towards a world where no one is forced to cook with unsafe kerosene or wood-burning stoves, no child has to worry about how they will study after dark, and lack of energy access ceases to propel cycles of poverty.”
Gates restated earlier claims that transactions can be made up to 90% cheaper through digitization making innovative financial products and services available. He commented on what he sees as the next essential step in this process:
“I see two priorities for the immediate future. First, we need to drive the policy changes to make sure the poor can get engaged at this level and second, we need a measurement system that tracks the progress towards drawing people in not just have accounts but to really benefit from financial activity.”