It’s Black History Month, and it’s important to remember that cryptocurrencies and blockchain technologies have already had a significant influence on the black American community. In a survey conducted by Pew Research, about 18% of black Americans have held, traded, or just utilized cryptocurrencies. According to the study, black males are twice as likely to be exposed to cryptocurrency.
Many members of the black investment community are advising black investors to get more knowledge and dollar cost average into bitcoin and other cryptocurrencies rather than keeping their money in cash. This is primarily an inflation hedge since significant cryptocurrencies such as bitcoin, ethereum, and ripple have performed at or slightly below the 7.5% inflation rate published over the last year.
Black American crypto startups are blooming
Hill Harper, an actor and entrepreneur who founded the black wall street fintech platform that focuses on cryptocurrency trading believes that bitcoin ownership, even fractional shares known as satoshis, is a means for building generational wealth.
“I believe we will have established a foundation of wealth that can be leveraged in the future if we can get every African-American in this nation to hold at least one million satoshis.” Over 62 percent of all Americans have less than $1200 in their bank accounts, and this number rises when we consider the African-American community.
A growing number of black businesses are turning to cryptocurrency to raise capital or fund projects outside of the traditional financial system. According to Andre Villeroy, many black business owners are looking into coins as a way to raise capital or even sell ownership stakes in their companies. Thanks to the power of blockchain, people have been able to do things that they would not have been able to do otherwise.
Villeroy and many others in the black investing community continue to advocate investing in cryptocurrency by leveraging your own token to grow capital faster and larger. It’s a way out as an inflation hedge and a way to close the racial wealth divide, which now stands at more than 11 trillion dollars.
Black artists have been taking scoops of profit from crypto and nfts. Prominent artists in the industry, including Shaquille O’Neal, Kevin Hart, and Snoop Dogg, to name a few, are diving headfirst into the world of crypto. This indeed is good news for the entire community of color to reduce the racial wealth gap. Cryptocurrencies are making investment more accessible to a broader range of people, which is positive. Because in crypto, there is no color, but only knowledge and abundant opportunities.