{"id":231,"date":"2014-06-07T04:37:00","date_gmt":"2014-06-07T04:37:00","guid":{"rendered":"http:\/\/blog.holytransaction.com\/remittance-relief-bitcoin\/"},"modified":"2023-01-10T03:39:53","modified_gmt":"2023-01-10T01:39:53","slug":"remittance-relief-bitcoin","status":"publish","type":"post","link":"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html","title":{"rendered":"Remittance Relief: Bitcoin can act as more than just a payment transfer system."},"content":{"rendered":"
\n

\u201c[Bitcoin] produces a market that\u2019s international, that everyone has access to, regardless of race, religion, creed\u2026\u201d<\/i> \u2013 Amir Taaki<\/h2>\n
<\/a><\/div>\n
<\/div>\n

(BitcoinMagazine<\/a>) There is a lot of talk recently of the power Bitcoin<\/a> has in changing
\nthe remittance market. \u00a0A remittance is a transfer of wealth from one
\nperson to another, mostly amongst the world\u2019s poor. Zach Ramsay of
\nCanadian-based CoinCulture<\/a> calls remittances \u201cpeer2peer for the poor2poor.\u201d It\u2019s an astute observation.<\/p>\n

<\/div>\n
It should be stated that this wealth transfer \u2013 remittance market \u2013 is cited as vital<\/i><\/a>, <\/i>critical<\/i><\/a>, <\/i>and an economic lifeline<\/a>\u00a0<\/i>for
\nthose receiving the money. \u00a0The demand does not just exist, it is
\ndesperately needed. Currently, remittances account for the second
\nlargest amount of wealth transfer from the \u2018West\u2019 to the underdeveloped
\nworld, second to International Aid.<\/div>\n
I don\u2019t want to go into the background and frustration with the
\ncurrent remittance system. It will surely take up pages and pages and
\ncome out in the form of an anti-banking and anti-Western-imposed
\n\u201cdevelopment\u201d rant. \u00a0The fact of the matter is: fees that are applied to
\nmoney that cannot<\/i> be made in x country, that then needs to be made in y country and sent back<\/i> to x country for x population to survive should be lower<\/i>. \u00a0And now, with bitcoin, they are<\/i>. \u00a0Moving forward is all that matters now.<\/div>\n
<\/div>\n
It is said that remittance fees are as high as they are because of
\ncompliance and regulation requirements. Perhaps we can also attribute
\nsome costs to the high risk involved in operating in sub-Saharan
\ncountries. \u00a0However, the sheer fact of the matter is the current monopoly and lack of competition in the market for cross-border payments<\/a> is also a reason for the high fees.<\/div>\n
<\/div>\n
The highest costs occur when transferring money to and between sub-Saharan African countries<\/a>. \u00a0Let\u2019s take the East African nation of Uganda as an example. Fees on money transfers into Uganda range from 10% to as high as 40%. <\/a><\/div>\n
How does Bitcoin fit in here? Well, for those who are not up-to-speed
\non the technology, Bitcoin enables instant transfer of monetary value
\nover the internet in any amount, to anyone, anywhere in the world, at
\nany time. \u00a0This peer-to-peer transfer of wealth saves time and money;
\nMoneyGram and Western Union take on average 2 days to get money to the
\nreceiver and require a high percentage of that money as payment for this
\nservice.<\/div>\n
<\/div>\n
Ronald, a student in Kampala, Uganda, is a great example<\/a>
\nof the opportunity bitcoin presents in changing the expensive and truly
\noutdated remittance market. \u00a0Ronald receives money from his U.S.-based
\nfamily to live on while he studies. \u00a0One day, his U.-S.-based family
\ndecides to experiment with bitcoin. \u00a0His family types out instructions
\nto Ronald via a Facebook message and Ronald follows them, downloading
\nthe required software to accept the bitcoin transfer, and the money
\narrives in his bitcoin account (a \u201cwallet.\u201d)<\/div>\n
<\/div>\n
Now, Ronald must find a buyer for his bitcoin. \u00a0He goes into
\nKampala\u2019s city centre and meets with a buyer, who gives him Ugandan
\nShillings in return for the bitcoin. \u00a0The process is quicker than
\nWestern Union and MoneyGram, and costs significantly less (the mining
\nfee paid by his family back home.) It works! Watch the video here<\/a>.<\/div>\n
<\/div>\n
Bankers and Western Union\/MoneyGram dislike this reality. Bitcoin is
\ncompetition. \u00a0It pushes them out of their cozy position, causing them to
\nrethink their entire existence as a business. \u00a0But it is a reality.
\nBitcoin is working. \u00a0Perhaps the demand isn\u2019t fully there yet across
\nall countries. \u00a0But it will be. \u00a0And it will replace these archaic money
\ntransfer businesses and processes.<\/div>\n\n\n\n\n
\"andreas\"<\/a><\/td>\n<\/tr>\n
Antonopoulos telling it like it is.<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n
\n
The reality is that, despite us constantly using the continent in
\nreference to the underdeveloped world, Africa is very advanced when it
\ncomes to transferring money online. \u00a0Fellow Bitcoin Magazine
\ncontributor, Brian Cohen<\/a>,
\nsays, \u00a0\u201cmore people have access to mobile phones than working toilets.\u201d
\nParts of the continent simply skipped past the rest of the world and
\nwent straight to using their phonesfor low-cost banking. Over 1\/3 of
\nKenyans can now buy and sell virtual currencies by using a bitcoin
\nwallet called Kipochi within their robust money transfer system, M-Pesa. To date,approximately 14.5 million Kenyans and 5 million Tanzanians have signed up for the service<\/a>. #SorrynotsorryCGAP<\/div>\n
<\/div>\n<\/div>\n

 <\/p>\n

Bitcoin can act as more than just a payment transfer system. \u00a0It can
\nalso hold value. \u00a0Uganda \u201cloves to take money from the poor.\u201d \u00a0The
\ncountry\u2019s current inflation rate is 6-7%; if Ronald\u2019s money isn\u2019t used
\nor put to work in a vehicle that earns as much as that, his money is
\ndisappearing. \u00a0Furthermore, if Ronald allows his money to sit in a basic
\nbank account, it will be \u201cgone in 5 months\u201d due to the high fees
\nassociated with banking. \u00a0Bitcoin can be used as a store of value.
\nHowever, it must be noted that it could also potentially lose money for
\nRonald\u2026 but it\u2019s not guaranteed to lose money and there are no fees
\nassociated with holding it.<\/div>\n
<\/div>\n

 <\/p>\n

Furthermore, bitcoin also acts as a way for families to send small
\namounts of money to each other. \u00a0Never before in the history of the
\nworld have we been able to send tiny amounts of money to each other over
\nthe internet! Now, Ronald\u2019s family can send him $10 dollars if they
\nwant. \u00a0Or money for a meal. \u00a0It really is incredible.<\/div>\n
A lot of our energy is also going to the talk of the need for regulation with bitcoin businesses. \u00a0Andrew Brown of Earthport<\/a>\u00a0notes
\nthat, after regulation and compliance costs are implemented on the
\nbitcoin platform, no \u201capparent advantage [for bitcoin] will be left.\u201d<\/div>\n
The goal here is not<\/b> to make Bit-Western Unions, where the
\ncost-savings of the technology cannot be realized. The goal here is to
\nempower and educate people so they can help themselves and each other.
\nWith Ronald\u2019s example, we can see that this is already happening.<\/div>\n
<\/div>\n
We have all the tools at our disposal. People can educate themselves
\nanywhere and at any time using the Internet. \u00a0The world is shifting into
\nenlightenment and we are finally evolving out of these old institutions
\nand laggy systems. \u00a0The key to this shift is empowering individuals via
\naccess to information and technology. \u00a0We will create and sustain this
\nshift by keeping power diffused and decentralized. The answer is not to
\nbuild remittance businesses on top of bitcoin, but, if anything, to
\nbuild information businesses that can explain and teach people all
\naround the world on exactly how to tap into this technology and use it
\nfor their benefit.<\/div>\n
<\/div>\n
M-Pesa started out of modest beginnings, and now Kenya operates at a
\nmore sophisticated level of money transfer than countries like Canada
\nand the United States. Perhaps it\u2019s time for us to catch up and join
\nEast Africa and learn from some of the trails they are blazing with this
\ntechnology.<\/div>\n
Not so dark a continent after all, eh?<\/div>\n
<\/div>\n
Image from\u00a0Nolte Lourens<\/a>\u00a0@ shutterstock<\/i><\/div>\n<\/div>\n

Open your free digital wallet here<\/a> to store your cryptocurrencies in a safe place.<\/p>\n","protected":false},"excerpt":{"rendered":"

\u201c[Bitcoin] produces a market that\u2019s international, that everyone has access to, regardless of race, religion, creed\u2026\u201d \u2013 Amir Taaki (BitcoinMagazine) There is a lot of talk recently of the power Bitcoin has in changing the remittance market. \u00a0A remittance is a transfer of wealth from one person to another, mostly amongst the world\u2019s poor. Zach […]<\/p>\n","protected":false},"author":1,"featured_media":780,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7,37,679],"tags":[704,1332],"yoast_head":"\nRemittance Relief: Bitcoin can act as more than just a payment transfer system. -<\/title>\n<meta name=\"description\" content=\"Discover how Bitcoin is disrupting industries and revolutionizing the way we think about money and value. Explore the potential of this decentralized cryptocurrency.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Remittance Relief: Bitcoin can act as more than just a payment transfer system.\" \/>\n<meta property=\"og:description\" content=\"Discover how Bitcoin is disrupting industries and revolutionizing the way we think about money and value. Explore the potential of this decentralized cryptocurrency.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/facebook.com\/holytransaction\" \/>\n<meta property=\"article:author\" content=\"https:\/\/facebook.com\/holytransaction\" \/>\n<meta property=\"article:published_time\" content=\"2014-06-07T04:37:00+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-01-10T01:39:53+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/holytransaction.com\/blog\/wp-content\/uploads\/2014\/06\/poor-feat.png\" \/>\n\t<meta property=\"og:image:width\" content=\"990\" \/>\n\t<meta property=\"og:image:height\" content=\"350\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"Satoshi\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@https:\/\/twitter.com\/holytransaction\" \/>\n<meta name=\"twitter:site\" content=\"@holytransaction\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Satoshi\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"6 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html\",\"url\":\"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html\",\"name\":\"Remittance Relief: Bitcoin can act as more than just a payment transfer system. -\",\"isPartOf\":{\"@id\":\"https:\/\/holytransaction.com\/blog\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html#primaryimage\"},\"image\":{\"@id\":\"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html#primaryimage\"},\"thumbnailUrl\":\"https:\/\/holytransaction.com\/blog\/wp-content\/uploads\/2014\/06\/poor-feat.png\",\"datePublished\":\"2014-06-07T04:37:00+00:00\",\"dateModified\":\"2023-01-10T01:39:53+00:00\",\"author\":{\"@id\":\"https:\/\/holytransaction.com\/blog\/#\/schema\/person\/1643e2c0c2df67ae0d6eacff8a185e69\"},\"description\":\"Discover how Bitcoin is disrupting industries and revolutionizing the way we think about money and value. Explore the potential of this decentralized cryptocurrency.\",\"breadcrumb\":{\"@id\":\"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html#primaryimage\",\"url\":\"https:\/\/holytransaction.com\/blog\/wp-content\/uploads\/2014\/06\/poor-feat.png\",\"contentUrl\":\"https:\/\/holytransaction.com\/blog\/wp-content\/uploads\/2014\/06\/poor-feat.png\",\"width\":990,\"height\":350},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/holytransaction.com\/blog\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"adoption\",\"item\":\"https:\/\/holytransaction.com\/blog\/tag\/adoption\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"Remittance Relief: Bitcoin can act as more than just a payment transfer system.\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/holytransaction.com\/blog\/#website\",\"url\":\"https:\/\/holytransaction.com\/blog\/\",\"name\":\"\",\"description\":\"HolyTransaction's Blog - Your crypto blog\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/holytransaction.com\/blog\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/holytransaction.com\/blog\/#\/schema\/person\/1643e2c0c2df67ae0d6eacff8a185e69\",\"name\":\"Satoshi\",\"sameAs\":[\"https:\/\/holytransaction.com\",\"https:\/\/facebook.com\/holytransaction\",\"https:\/\/twitter.com\/https:\/\/twitter.com\/holytransaction\"],\"url\":\"https:\/\/holytransaction.com\/blog\/author\/admin\"}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"Remittance Relief: Bitcoin can act as more than just a payment transfer system. -","description":"Discover how Bitcoin is disrupting industries and revolutionizing the way we think about money and value. Explore the potential of this decentralized cryptocurrency.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html","og_locale":"en_US","og_type":"article","og_title":"Remittance Relief: Bitcoin can act as more than just a payment transfer system.","og_description":"Discover how Bitcoin is disrupting industries and revolutionizing the way we think about money and value. Explore the potential of this decentralized cryptocurrency.","og_url":"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html","article_publisher":"https:\/\/facebook.com\/holytransaction","article_author":"https:\/\/facebook.com\/holytransaction","article_published_time":"2014-06-07T04:37:00+00:00","article_modified_time":"2023-01-10T01:39:53+00:00","og_image":[{"width":990,"height":350,"url":"https:\/\/holytransaction.com\/blog\/wp-content\/uploads\/2014\/06\/poor-feat.png","type":"image\/png"}],"author":"Satoshi","twitter_card":"summary_large_image","twitter_creator":"@https:\/\/twitter.com\/holytransaction","twitter_site":"@holytransaction","twitter_misc":{"Written by":"Satoshi","Est. reading time":"6 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html","url":"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html","name":"Remittance Relief: Bitcoin can act as more than just a payment transfer system. -","isPartOf":{"@id":"https:\/\/holytransaction.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html#primaryimage"},"image":{"@id":"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html#primaryimage"},"thumbnailUrl":"https:\/\/holytransaction.com\/blog\/wp-content\/uploads\/2014\/06\/poor-feat.png","datePublished":"2014-06-07T04:37:00+00:00","dateModified":"2023-01-10T01:39:53+00:00","author":{"@id":"https:\/\/holytransaction.com\/blog\/#\/schema\/person\/1643e2c0c2df67ae0d6eacff8a185e69"},"description":"Discover how Bitcoin is disrupting industries and revolutionizing the way we think about money and value. Explore the potential of this decentralized cryptocurrency.","breadcrumb":{"@id":"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html#primaryimage","url":"https:\/\/holytransaction.com\/blog\/wp-content\/uploads\/2014\/06\/poor-feat.png","contentUrl":"https:\/\/holytransaction.com\/blog\/wp-content\/uploads\/2014\/06\/poor-feat.png","width":990,"height":350},{"@type":"BreadcrumbList","@id":"https:\/\/holytransaction.com\/blog\/2014\/06\/remittance-relief-bitcoin.html#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/holytransaction.com\/blog"},{"@type":"ListItem","position":2,"name":"adoption","item":"https:\/\/holytransaction.com\/blog\/tag\/adoption"},{"@type":"ListItem","position":3,"name":"Remittance Relief: Bitcoin can act as more than just a payment transfer system."}]},{"@type":"WebSite","@id":"https:\/\/holytransaction.com\/blog\/#website","url":"https:\/\/holytransaction.com\/blog\/","name":"","description":"HolyTransaction's Blog - Your crypto blog","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/holytransaction.com\/blog\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/holytransaction.com\/blog\/#\/schema\/person\/1643e2c0c2df67ae0d6eacff8a185e69","name":"Satoshi","sameAs":["https:\/\/holytransaction.com","https:\/\/facebook.com\/holytransaction","https:\/\/twitter.com\/https:\/\/twitter.com\/holytransaction"],"url":"https:\/\/holytransaction.com\/blog\/author\/admin"}]}},"_links":{"self":[{"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/posts\/231"}],"collection":[{"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/comments?post=231"}],"version-history":[{"count":1,"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/posts\/231\/revisions"}],"predecessor-version":[{"id":4941,"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/posts\/231\/revisions\/4941"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/media\/780"}],"wp:attachment":[{"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/media?parent=231"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/categories?post=231"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/tags?post=231"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}