Africa is leapfrogging the U.S. and Europe in embracing blockchain technology that could make it “richer than Western countries”, claims Cardano chief Charles Hoskinson.
Hoskinson has a vision to rebuild the social and economic infrastructure of African countries with blockchain technology.
Speak on Financial Times Crypto and the Digital Assets Summit, Cardano’s founder said that there is “more demand than supply” for services in developing countries around the world.
At the time of writing the price of cardano (ADA-USD) is $ 0.53, and a market capitalization of $ 18bn.
Cardano sees the centralized infrastructure at the base of Western countries as an obstacle that African countries can face on their path to becoming web3 giants.
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Speaking with Yahoo Finance, John O’Connor, head of operations at Africa IO Globalsaid: “DeFi certainly has great potential for developing countries, especially those that do not yet have a legacy infrastructure that prevents rapid innovation, and can make blockchain rollouts smoother.”
Cardano sees an opportunity in Africa’s younger population, which is eager to use new technologies at a faster pace than their older counterparts in the global north.
Instead of relying on a legacy system of government, which is centralized and can produce a corrupt hand, African countries are able to unleash the potential of millions of untapped people with automated blockchain protocols.
In Cardano’s vision for Africa, the code is king and “the code goes beyond government, and if governments try to move in a certain direction, they can’t”, Hoskinson added.
At Financial Times events in London, which described the chains of poverty that the blockchain can unlock, as its algorithm “no matter who you are or where you’re at, whether you’re a Sengales farmer or Bill Gates”, they just get the job done. .
The cardano blockchain algorithm enables intelligent contracts that can provide financial inclusion for billions on the African continent.
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The ability to prove your identity, educational qualifications, legal land ownership or the ability to access a loan is a luxury enjoyed by U.S. and European citizens.
In Africa, hundreds of millions of people do not have bank accounts, do not have access to adequate credit, there is no definitive proof of qualification and there is no proof that they own land or houses where they have lived for generations. Because the central government has failed.
Cardano has made it a mission to fix this poverty trap and leapfrog African countries to not only compete with the West but become world leaders “in AI and advanced robotics”.
In the past, the fate of billions of Africans has been decided in places in the West and in golf resorts where the elites of power play. However, Hoskinson has news for them, the blockade “is not affected by current politics or the geopolitics of large states rather than small states”.
Hoskinson explains that when the Cardano protocol is installed, “it’s a fixed way and the user has the assets”. He added: “We have more demand than supply, and now that there are more than 900 decentralized applications deployed in the Cardano ecosystem, with many involved in the GoveTech business, people can see opportunities there.”
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However, what will now control the fate of billions living in Africa if the social, economic and governmental fabric loosens the power of the blockchain. How can citizens be sure that the coded protocols that guide their lives are not, then guided by bad actors?
John O’Connor of Cardano said the block was absolutely safe, and not vulnerable to manipulation from power groups. He added that “the protocol is guaranteed to secure up to 51% of the original ADA cryptocurrency shares held by honest participants, who, in addition to other novel concepts, are achieved through random leader selection”.
He added that: “Governance is an important step in Cardano’s roadmap. This roadmap has five stages; foundation, decentralization, smart contracts, scale and governance.” technical and funding decisions, to ensure, “that the blockade remains democratic.”
Cardano will enable a decentralized banking system that can issue micro -credit to people who do not have a credit history or transactions. By tracking peer -to -peer transactions, the blockchain will build a history of individual transactions. O’Connor added that “when it comes to the bankless population in emerging economies, there is a real problem with individuals in rural areas who do not have access to primary financial services. DeFi (financial decentralization) is a great tool for increasing economic inclusion.”
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Forgery of land ownership documents is a problem in the African property market, and due to regime changes proving property claims made under the former regime or after the civil war is very difficult.
According to O’Connor, Cardano plans to help eliminate the issue of land and property fraud by “keeping property deeds in blocks so users can access those documents only with a mobile phone, and can be trusted to be safe and indestructible.”.
He added: “This could be of special benefit to refugees who have to prove ownership of the land when returning home, if the documents are stored in a digital ledger, they cannot be lost or damaged due to the security of the blockchain. Cardano is Thanks to Ouroboros, the blockchain protocol which we design, which has mathematically verifiable security against attackers.
Cardano is not the only organization pushing the future of Africa to be blockchain -based. President of Tingo International Holdings Chris Cleverly also spoke with Yahoo Finance and described the African digital currency market as growing by more than 1,200% in 2021, “the fastest rate in the world”.
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Tingo wants to provide much -needed credit to bankless people in Africa through micro loans recorded on the blockchain through a pioneering SMS network that does not require an internet connection.
Over half of Africa’s population has access to mobile phones and Tingo’s new KamPay service will allow people to send and receive funds for their products and needs in a secure distributed blockchain.
Smartly added that the blockchain service will reach millions of farmers across Africa with SMS technology to provide micro loans of up to $ 2USD.
Smartly describes the blockchain as “a huge role in solving some of the world’s biggest challenges such as overcoming food security and facilitating economic development”. And he adds that the technology is already here, “not a distant, vague and unknown concept or vision”.
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Cardano has been slowly kicking the starting block, becoming several years behind first-timers like rival Ethereum, but he thinks building a web3 world isn’t going to be a 100m sprint.
O’Connor said that while Cardano has developed slowly, with each step forward supported by peer-reviewed research, the blockchain “is now mature enough to support a blockchain solution that works for the entire national population”.
There is an expression that a day in crypto is the same as a year in traditional finance, and proponents of rival blockchain have blamed Cardano for undergoing a development that looks timeless.
However, to understand Cardano’s hard -working research and development strategy, it is necessary to remember the saying of Abraham Lincoln, “give me six hours to cut a tree and I will spend the first four sharpening an ax”.
Cardano started life in 2015, and so far the development team has sharpened the ax, but now evidence of the stake block is starting to cut, with the first stroke landing in Africa.
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