How micro payments can help to alleviate global poverty

[hatshepsut93]

I don't think that microtasks are alleviating poverty, they likely make it worse. All these microjobs are very low skill tasks with zero career growth and they consume a ton of time. So the people who do them have no opportunity to grow and break out of poverty. Someone relies on miicrotasks for their income will stay poor for the rest of their lives.

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[justdimin]

Exactly that's what I love about Bitcoin. If you see people are getting into Bitcoin because they can actually earn through it in an international arena. In African countries. Even a few dollars earning can get you a decent lifestyle and that's the main reason that in many less developed countries, the proliferation of Bitcoin is very high... Yes I believe we should promote more micro finance transactions

That’s literally how I got in as well. I realized that people do not care about 50 bucks or 100 bucks when they are from western nations and would gladly give that much to someone to do some jobs for them. A weeks worth of job in USA doesn't worth 500 bucks, it worths 1k to 2k, based on who you are and what you do, and plenty of computer engineers or people who earn a good amount in bitcoin world so they are already richer than normal Americans or Europeans.

This allowed me to make 100 bucks or more per week which was low for them, but high for me and ever since those days I am making a good income, definitely much better than other citizens in my own nation, and living a good life, better than I could have imagined.

[virasisog]

I don't think that microtasks are alleviating poverty, they likely make it worse. All these microjobs are very low skill tasks with zero career growth and they consume a ton of time. So the people who do them have no opportunity to grow and break out of poverty. Someone relies on miicrotasks for their income will stay poor for the rest of their lives.

This is definitely true. I've tried doing different microtasks before and they aren't worth my time. They are too time-consuming but the payment is too low despite your skills. Yes, they offer good opportunities but we can't rely our daily necessities on them. They can't also be reliable for a side job because they consume time so it's better look for reliable opportunities where we could earn bigger.

[kensaii]

A digital wallet that supports or is compatible with lower phone versions. For example, in the past when I wanted to install a crypto wallet application but the condition of the phone was not adequate, in other words, it was not compatible with the device I was using. So here I hope that application developers can create digital wallets that can be accessed by the public there in general with the type of cellphone they hold.

Because today's technology is sophisticated and today's smartphone users don't have too many obstacles if it's only for transactions. The case may be with minimum fees and withdrawals if using an exchange platform. As for the micro income that supports digital transactions among the local community, it is quite difficult to accept. Because what they need is direct money without a third party that can cut the costs of sending and withdrawing.

Agree, the smartphone today can be as cheap as $25-50 for a very basic spec but can still work with any wallet provide there is a lite version typical made for transactions only. I think there are programs where manufacturers and telecom even 'sponsor' free smartphones for poor people to help them stay connected with the government to receive critical information. Especially in the rural region where floods, typhoons, volcano eruptions,... natural disasters happen annually.

So we got the hardware problem sort of. Next would be the internet fee which I think is even more challenging than minimum fees and withdrawals. Because for minimum fees and withdrawals fees, we can add some protocol where miners doing 'charity works' or community rigs only add specific txid from users/accounts come from that rural region. Same for exchange, try to get them to make a whitelist for those users/accounts too.

Free internet to maintain 24/7 connection for that rural region, now this is a problem. How about this: We get Elon Musk with his Starlink satellite internet to provide free coverage in that rural region zone, promise a good free press for him and his Starlink program as a return, more boost for him in the crypto world. What do you guys think?

[Fortify]

I travel for work a lot and I have worked on contract in 3rd world countries where poverty are very high. In most of these countries and specifically in the more rural areas, people are very poor and they lack the infrastructure and resources to have access to Banking services and/or the Internet.    (Some people even struggle to get electricity and clean water)

Now, most of these people rely on the land to provide them with an income... and they live in a constant "survival" mode.. where they live from hand to mouth.

Now, in Africa I have seen people using cellphones to make digital payments using a centralized payment method, called MPESA ...so even with very limited resources, people are still able to make transactions. (They charge cellphones with small solar panels and/or petrol generators for the community)

We (1st world countries) should find ways to make payments on Bitcoin easier and more user friendly, so that payment on ALL phones can be possible. (not just fancy smart phones)  

We should also find ways for people with those phones to execute tasks that will enable 1st world countries to pay those people with "cheap" micro payments. (Lightning Network) ...example : translation services / typing / spell checking / sorting of data etc...etc.

Let's brainstorm ideas to develop software that will tap into the opportunities that will enable micro payments on a global scale, so that we can pull in a forgotten section of the global economy.  

Do not give them fish... rather provide the hook ...line... sinker... and they will fish for themselves.

"Micro" is a relative term in this context, what might be very small sums in Europe or North America could amount to a substantial portion of a monthly wage in other countries. Some African or Asian countries might earn less than $250 equivalent in their local currency, so if they were able to put together an extra $25 through some sort of dealings then it would add an extra 10% to their salary - a substantial raise. This is why driving down fees for the blockchain network must also be a continuing strategy, they have come a long way from the early days and bech32 made a great step but we should keep pushing them down if we want to raise bitcoin up.

[BRINIRHA]

in areas experiencing poverty problems of course they will experience difficulties in all aspects. it's not just about eating. they even find it difficult to go to school and seek knowledge and insight. because some of them are not even familiar with smart phones. so it is difficult for them to have broad insight, so that creativity is not channeled. sometimes this lack of knowledge is the main obstacle. so free education is very important for areas experiencing poverty.

but always the most surprising of those who live poor is that they actually have a good level of intelligence. it's just that they need to be given space and opportunity. and education to explore their own potential.

obligation for people who can afford is to educate and facilitate them.

creating a platform that helps them is also one of the solutions after education.

[DrBeer]

I travel for work a lot and I have worked on contract in 3rd world countries where poverty are very high. In most of these countries and specifically in the more rural areas, people are very poor and they lack the infrastructure and resources to have access to Banking services and/or the Internet.    (Some people even struggle to get electricity and clean water)

Now, most of these people rely on the land to provide them with an income... and they live in a constant "survival" mode.. where they live from hand to mouth.

Now, in Africa I have seen people using cellphones to make digital payments using a centralized payment method, called MPESA ...so even with very limited resources, people are still able to make transactions. (They charge cellphones with small solar panels and/or petrol generators for the community)

We (1st world countries) should find ways to make payments on Bitcoin easier and more user friendly, so that payment on ALL phones can be possible. (not just fancy smart phones)  

We should also find ways for people with those phones to execute tasks that will enable 1st world countries to pay those people with "cheap" micro payments. (Lightning Network) ...example : translation services / typing / spell checking / sorting of data etc...etc.

Let's brainstorm ideas to develop software that will tap into the opportunities that will enable micro payments on a global scale, so that we can pull in a forgotten section of the global economy.  

Do not give them fish... rather provide the hook ...line... sinker... and they will fish for themselves.

And why should the countries of the 1st world impose such a solution?
I know the project you spoke about very well, and this project just solves the problem of both payments and security and convenience.
In order to make "cryptocurrency payments accessible to all", people in Africa need to:
- build data networks
- deploy a network of base stations of mobile operators
- buy full-fledged smartphones for everyone
- to pay for all this...

But why ?
Trust me, they won't like it.

Oh yes - and they will also need to ... Buy cryptocurrency in order to pay with it And why? Why do you think they need it?

I will simplify the answer for you There is a wonderful rule of "five whys". Answer yourself the first question "why do they need it", and then ask your answer the question "why" again and so on 5 times. If you can’t answer logically, then there are no objective reasons!

[tippytoes]

in areas experiencing poverty problems of course they will experience difficulties in all aspects. it's not just about eating. they even find it difficult to go to school and seek knowledge and insight. because some of them are not even familiar with smart phones. so it is difficult for them to have broad insight, so that creativity is not channeled. sometimes this lack of knowledge is the main obstacle. so free education is very important for areas experiencing poverty.

but always the most surprising of those who live poor is that they actually have a good level of intelligence. it's just that they need to be given space and opportunity. and education to explore their own potential.

obligation for people who can afford is to educate and facilitate them.

creating a platform that helps them is also one of the solutions after education.

I can agree with you here. Education is one of the keys to alleviate them from poverty. However, only selected few are given the chance to pursue their education because of their economic status. Micro payments, I think, is not main contributor that can uplift their status in life. it is their education and means of livelihood. Some are just waiting for available decent jobs to come by, else, they are just contented to have those backbreaking jobs with very unfair wage.

[SirLancelot]

I don't think that microtasks are alleviating poverty, they likely make it worse. All these microjobs are very low skill tasks with zero career growth and they consume a ton of time. So the people who do them have no opportunity to grow and break out of poverty. Someone relies on miicrotasks for their income will stay poor for the rest of their lives.

This is definitely true. I've tried doing different microtasks before and they aren't worth my time. They are too time-consuming but the payment is too low despite your skills. Yes, they offer good opportunities but we can't rely our daily necessities on them. They can't also be reliable for a side job because they consume time so it's better look for reliable opportunities where we could earn bigger.

I don't think they are time consuming because they are only micro tasks anyway and micro means small but maybe the ones that do the job are slow. Not all micro task are too easy and it is also possible to develop your skills upon doing them but if you think they are not worth for your time then just quit on doing them.

No one is forcing you do them anyway but let's admit it, many people are still relying on them either for temporary or permanently because they don't have a proper job at the moment. These people are still very thankful that micro jobs exist as it can help them to get some money. This is better than doing nothing on their free time.

[kryptqnick]

I've seen some articles on sending BTC via SMS (using a custodial wallet, unfortunately), but aside from it being a centralized solution, I don't know if it's safe and legit enough. That being said, if people are in poverty, I think the issue isn't Bitcoin transaction fees or that you need a smartphone to comfortably send BTC. The issue is that these people don't have money to spare, and Bitcoin is too volatile for them anyway because they can't risk changes in how much they have when they barely have enough to satisfy basic needs. So the issue of poverty, the economic system, the level of corruption and stuff like that should be addressed (along with access to electricity and the Internet), and then maybe micropayments won't be needed.

[Wong Gendheng]

All businesses can play a role in reducing poverty locally or globally, for example is recycling of waste, we receive raw materials from poor people who take garbage and we produce, if we are successful then we can teach this via the YouTube channel and the world will be able to follow the steps what we do.

[gloeng]

Now, as I said, centralized payment systems are much easier, no matter what we simplify. Giving them a centralized system based on Bitcoin is not really a step forward (not your keys, not your coins). And if we add on top the fact that Bitcoin comes with various fees (and I talk about conversion from/to fiat) and its price is fluctuating a lot... I am not sure it will help them. They don't afford to lose any penny.
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It is a hard question to solve without centralization. I am a fan of decentralizing, but decentralized systems are also really hard to understand and get access to, for many many people in the 1st world, let alone for other countries.

The solution can be bridging both worlds.

Do you know any projects working with this mindset?
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I do. The Rebus Chain https://twitter.com/RebusChain is bringing Defi mainstream, by bridging Defi with Tradfi, bringing new money and new investors into this space.