The global need to use cryptocurrencies and their benefits arises from structural problems in traditional financial systems, as well as unique opportunities offered by these technologies. Here I detail the key reasons and associated benefits, with a global and practical focus: Global need for cryptocurrencies
Financial access for the unbanked:
Approximately 1.4 billion people in the world (according to the World Bank in 2021, with slow improvements until 2025) do not have access to basic banking services. In regions like sub-Saharan Africa, rural Latin America, or Southeast Asia, banking infrastructure is limited. Cryptocurrencies, accessible with just a phone and internet connection, allow these people to participate in the global economy.
Inflation and devaluation of local currencies:
In countries like Venezuela, Argentina, or Zimbabwe, where inflation has reached extreme levels (for example, Argentina with 211% annual in 2023 and high projections in 2025), fiat currencies lose value rapidly. Cryptocurrencies, especially those with limited supply like Bitcoin, are perceived as an alternative store of value.
Costs and delays in remittances:
Global remittances exceeded $700 billion in 2024, but traditional services (such as Western Union) charge fees of 6-10% and take days. This affects migrants sending money to their families in developing countries. Cryptocurrencies offer a faster and cheaper solution.
Financial censorship and government control:
In authoritarian regimes, governments can freeze bank accounts or restrict transactions (for example, Russia in 2022 or China with its currency restrictions). Decentralized cryptocurrencies allow citizens to circumvent these restrictions and maintain control over their funds.
Demand for technological innovation:
Companies and governments are seeking to modernize obsolete financial systems. The blockchains underlying cryptocurrencies offer transparency, traceability, and efficiency, which drives their adoption in sectors such as logistics, health, and finance.
Benefits of cryptocurrencies
Decentralization:
By not relying on central banks or intermediaries, cryptocurrencies reduce the power of single entities over money, giving autonomy to users. This is key in countries with corrupt or unstable systems.
Fast and low-cost transactions:
Sending Bitcoin or stablecoins like USDT can cost pennies and be completed in minutes, compared to days and high fees in traditional international transfers.
Privacy and security:
Although not all are anonymous (Bitcoin is pseudonymous), cryptocurrencies offer greater control over privacy than bank accounts, where personal data is centralized. Cryptocurrency wallets, if managed well, are resistant to systemic hacks.
Economic inclusion:
Anyone with internet access can use cryptocurrencies, without the need for permissions, official identifications, or bureaucratic requirements. This empowers marginalized communities.
Store of value and diversification:
Assets like Bitcoin, with its supply limited to 21 million coins, are seen as 'digital gold', especially in times of economic uncertainty. Global investors use them to diversify portfolios against inflation or declines in traditional markets.
Smart contracts and decentralized applications:
Cryptocurrencies like Ethereum or Solana enable smart contracts, which automate agreements without intermediaries (for example, loans, insurance, or conditional payments). This has transformative potential in entire industries.
Resistance to censorship:
Transactions on public blockchains cannot be easily blocked by governments or corporations, making them useful for activists, journalists, or citizens in repressive countries.
Practical examples
Africa: In Nigeria, where the naira has drastically devalued, the use of Bitcoin and stablecoins grew by 1,200% between 2020 and 2023, according to Chainalysis, for trade and savings.
Ukraine: During the conflict with Russia, crypto donations exceeded $100 million in 2022, showing their usefulness in humanitarian crises.
El Salvador: Since 2021, it adopted Bitcoin as legal tender to reduce dependence on the dollar and attract investment, although with mixed results until 2025.
Conclusion
The need for cryptocurrencies lies in their ability to solve problems of access, cost, control, and trust in the global financial system. Their benefits —speed, inclusion, autonomy— make them attractive both for individuals and emerging economies. However, challenges such as volatility, regulation, and criminal use (money laundering) remain obstacles. Are you interested in delving deeper into any specific benefit or region?