Race for the “Unbanked”: Facebook Libra VS Bitspark

Cryptocurrencies have grown as the solution for many problems, and unbanked individuals could find what they need with cryptocurrencies.

Facebook Libra enjoys a lot of attention from everyone right now. It gave new life to the cryptocurrency investment trend, and the current uptrend enjoyed by Bitcoin and altcoins owes quite a bit to it.

However, Bitspark is another similar solution that seems to compete with Facebook Libra, specifically for reaching the unbanked population.

Find out more!

What does “unbanked” mean?

“Unbanked” is common way to refer to adults who don’t make use of banks or any similar institutions.

Unbanked people use alternatives to traditional debit cards. The most common options are cash and prepaid debit cards. These people also tend not to have insurance or money services related to professional work.

They’re often seen as obstacles for the developing world. However, there are unbanked adults everywhere in the world, including the US and Europe.

A significant portion chooses this lifestyle because of general distrust towards the banking system and politics. That nature has led many unbanked citizens to look for cryptocurrencies as a solution.

What’s Facebook Libra?

Libra is a form of cryptocurrency developed by Facebook’s Mark Zuckerberg. He’s been working on the Libra Network; it’s an “authorized” blockchain platform.

“Authorized” means that only certain servers will have access to the information. While it somewhat separates Libra from the traditional cryptocurrency concept, Facebook officials suggest it’ll make the network much faster than the standard crypto coin.

However, it’s worth noting that the Libra Association will supervise its launch, and it’ll be the authority in charge of the coin. It’s an association between several companies and non-profit organizations with 28 founding members.

The objective is for Libra to be a practical solution for everyday requirements. It aims to be as useful as the standard payment methods available today.

What’s Bitspark?

Bitspark offers a similar solution as Facebook Libra. Its approach is a free cloud platform letting Money Transfer Shops (MTOs) send and receive remittances with detailed analytics.

It’s free for MTOs to join Bitspark, and they have significant advantages.

First, Bitspark charges less than other services, allowing over twice the regular earnings for MTOs. Additionally, Bitspark works in a cloud; this means that MTOs only need to connect to the internet to access the platform.

Lastly, Bitspark stores all the relevant information from users registering the platform. This feature enables all users to finish all processes in seconds.

Is this race the solution?

The issue with unbanked individuals is the lack of trust; lack of funds is another issue for maintaining a bank account. Therefore, Facebook Libra must surpass the issue regarding trust from their central association managing the blockchain.

On the other hand, Bitspark offers simply a new context for already-existing services, so people may accept it much faster.

However, Facebook already enjoys a huge following thanks to its social networks, and that’s a major advantage for its adoption.

What matters is that both are considerable endeavors that can contribute greatly towards independence from central banks and entities.

Image by Gerd Altmann from Pixabay

John McEnroe

John McEnroe

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