The digital age marked an increase on the digitization of many industries, allowing the creation of better processes to solve problems in a more efficient way.
By extension, the digital age's influence has spread beyond industries. These days it's basically everywhere and has ushered in a huge change in the way we do things, some of which I suspect will be well understood in the future.
Now, change means opportunity and there seems to be plenty of it in this early phase of the digitalage.
On the financial front, more people are able to learn about the basic fundamentals about finance and become more educated in this important domain.
There are also better financial systems that more people can access and utilize to better themselves financially.
The definition of money is being redefined and expanded in this new age. Crypto is arguably true digital money in that it is revolutionary and native to the digital world. And blockchain, the technology that crypto is built on gives us an opportunity to create a more financially inclusive world.
The Opportunity To Learn
Back in the old days, financial literacy was a privelege of the few. Financial knowledge wasn't that accessible like it is today. I sometimes sit and ponder what the world was like when only a few could read and write. Those who had that ability definitely had an unfair advantage over those who didn't had it.
Nowadays, the opportunity is there for anyone to learn and become a financial literate with the help of internet and social media. Individuals from all over the world are able share their insights, perspectives and experiences about finance.
Here on Hive, I've learn a fair amount of financial knowledge from the articles I've read and this has expanded my financial knowledge base, introducing new concepts that I never suspect could exists.
One of the downsides I've notice is that people tend to not take this rich and vast body of information that's available to them seriously, especially when it is easily accessible.
Take this phrase from Warren Buffett
about investing, "the stock market is a device for transferring money from the impatient to the patient.”
On one hand, there's this perception that things have to be easy. So when we acquire the information and start implementing, we often expect an almost immediate result. If this doesn't happen, we start thinking that the information is not useful.
On the other hand, there's too much information out there. Apart from decision paralysis, we can go an endless search of the one financial information that could solve all of our financial problems, so to speak. It happens to me every now and again.
This downside doesn't neccesarily negate the opportunity. Every opportunity comes with a challenge. Here, we just have to be prudent on the type of opportunity we choose to pursue. There many paths to wealth, we only need one that works for us.
Opportunity To Access
It's obvious that both opportunities are interconnected since they're both inherit on the same technology, which is the internet.
One could say that the opportunity to access is what brings about the opportunity to learn. But then how would you make best use of the access opportunity if you've not learned about it?
By the way, isn't it interesting that it's only when we're online can we learn and implement how to make money online?
Compared to cash, digital money is a fast, convenient and perhaps, efficient way of making payments both nationally and internationally. Many people can now earn, spend, save, invest and borrow money through various online platforms.
This opportunity to access financial services without the need for physical infrastructure and/or intermediaries is a key part in increasing the level of financial inclusion in our world. In a way, it has also made it easier for new players and products to emerge, contributing to the growth and innovation in the financial sector.
The other aspect of this opportunity is to actually better ourselves financially. From a utility(as in available tools) viewpoint, we're already financially better off than our parents and grandparents.
But how about other viewpoints such as income or wealth? This has also improved considerably.
Although social media isn't neccesarily a financial system yet, it has been a source of revenue for many individuals and businesses alike. Every account on social media is both a producer and consumer. And by focusing on the producer part, one can create value and monetize it from the comfort of their home.
I'm not sure whether my grandparent ever imagined this opportunity but it has become a possibility for many in the digital age.
Thanks for reading!! Share your thoughts below on the comments.