July 22

Does Facebook Need A Humanitarian Partner For Its New Digital Currency?

By Malaka Gharib

It’s not easy giving money to people in need.

In some countries, poor people may not have a bank account where a charity can transfer funds for financial aid. They may not have the ID — say, a birth certificate — required to cash a check at a bank.

And in an emergency situation — say, the aftermath of an earthquake — banks may not even be operating.

Could a single global digital currency — one that can be transferred through mobile phones — be a solution?

That’s the way that Libra will operate. It’s a new currency incubated at Facebook and announced in June. Libra, according to its website, wants to “reinvent” money by making a financial transaction as cheap and simple as “sending a text message or sharing a photo.”

Photo courtesy of Ken Teegardin.

Source: NPR Goats & Soda (link opens in a new window)

Finance, Technology
cryptocurrency, financial inclusion, financial innovation, global development