Cryptocurrencies play an important role in financial inclusion by providing access to financial services to the unbanked or underbanked. Decentralized transactions in cryptocurrencies enable low-cost and secure transactions. and at the same time particularly beneficial in regions with limited access to traditional banking infrastructure. Likewise, things that encourage economic participation for those excluded from the traditional banking system such as cryptocurrencies can empower individuals to take control of their money.

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Cryptocurrencies contribute to financial inclusion in several ways. Some of these examples are mentioned below -

1. Global Accessibility.
2. Impedance reduction.
3. Low transaction costs.
4. Financial empowerment.
5. Cross-border transactions.
6. Access to credit.
7. Identity verification.
8. Encouraging Savings.

Here we all know that cryptocurrency always works on a decentralized network. And so a person who has internet service and a digital wallet can access its services from anywhere in the world. And so if we refer to a remote area or a village where there are no roads to provide traditional banking services, but internet services are available, we can easily receive cryptocurrency services from there and also in many ways. We can also be profitable. Again, if we observe, we can see that the operation of the traditional banking system is very complicated and very costly. Which is not considered a convenience or a good aspect for everyone, especially for those who are not fully aware of the workings of traditional banking. But in cryptocurrency these processes are very simple and straightforward in nature which is very easy for a person to understand.

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One of the main reasons for increasing people's interest and usage of cryptocurrency day by day is its low cost. Traditional banking requires a lot of money from performing its entire work to transactions which in some cases creates financial pressure on the individual. But since the transaction cost in cryptocurrency is very low, people are now turning to it. Transactions in crypto are affordable and profitable for people with limited financial resources due to their low cost. Cryptocurrencies also provide financial empowerment to individuals that cannot be seen in traditional banking. Ownership of their private keys provides users with a level of financial autonomy in cryptocurrencies that may be absent in traditional banking systems.

Two topics of note in cryptocurrency are access to credit and cross-border transactions. Cross-border transactions refer to cryptocurrencies facilitating cross-border transactions that are faster and cheaper than traditional methods. And on the other hand, any amount of money can be transacted at any time without any third party or intermediary, which is a function outside of traditional banking services.

Cryptocurrencies have always used blockchain technology for decentralized identity verification and security. Blockchain can provide a reliable and tamper-proof identity system for those who lack all-important official identification documents.

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It is worth noting that technological barriers and regulatory uncertainties, challenges and risks also exist in the crypto world, where ongoing developments will likely continue to shape its impact on global financial inclusion.

So friends, that's it for today. Let me know in your comments what you think of today's topic. I am ending here wishing everyone good health. All be well and stay healthy.

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Thank You

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