NAKA. Empowering the unbanked

The issue of financial inclusion, or rather the lack of it, has been a pressing concern for economies worldwide. A significant portion of the global population remains unbanked, meaning they do not have access to basic financial services like savings accounts, credit, or even the ability to make digital transactions. This not only hampers individual progress but also poses challenges for economic development at large.

‍The Global Unbanked Scenario

As of recent data, approximately 1.7 billion adults worldwide do not have an account at a financial institution or through a mobile money provider. This number is staggering, considering the advancements in technology and the global push towards digitization.

‍There are several reasons for this:

‍Lack of Access: Many people, especially in rural areas, do not have easy access to physical banking infrastructures like ATMs or bank branches.

‍Low Income: A significant portion of the unbanked population falls under the low-income bracket, making it challenging for them to maintain minimum balance requirements or afford banking fees.

‍Lack of Necessary Documentation: Opening a bank account often requires multiple forms of identification, proof of income, and other documents that many people might not have.

‍Distrust in Financial Institutions: Past financial crises and scandals have led to a general mistrust in banking institutions in several regions.

‍Cultural and Social Norms: In many societies, especially in parts of Asia and Africa, cash is still the preferred mode of transaction. There's also a reliance on informal lending and borrowing systems within communities.

The LATAM Perspective

When we zoom into the Latin American (LATAM) region, the situation mirrors the global scenario but with its unique challenges. LATAM, with its diverse economies, has a significant unbanked population. Factors contributing to this include:

‍Economic Instability: Several LATAM countries have faced economic crises, leading to inflation, job losses, and a general distrust in the banking system.

‍High Crime Rates: In certain areas, people avoid using banking services due to fear of theft or extortion.

Informal Economies: A large portion of the LATAM workforce is employed in the informal sector, which operates mostly in cash and doesn't always provide the necessary documentation for banking.

However, LATAM also presents a massive opportunity for digital financial inclusion. With a young, tech-savvy population and increasing internet penetration, the region is ripe for a fintech revolution. Several startups and initiatives are already working towards this, aiming to bring financial services to the fingertips of the unbanked.

‍The NAKA solution to unbanked

NAKA is an ecosystem inspired by Satoshi Nakamoto’s vision and designed to empower the unbanked population who primarily depend on cash. With a NAKA account, these individuals can tap into essential financial and social services, such as digital salaries, savings accounts, loans, pensions, and other amenities that many globally consider standard.

Individuals are able to open a NAKA account via the NAKA dApp, where they can manage their funds, gain access to financial services and connect their non-custodial crypto wallet with the physical card. NAKA is available to everyone who wants full ownership over their funds.

‍Get started with NAKA now by joining the waitlist, and gain full control over your money and future.