Decentralized Finance: A Path to Reducing Global Poverty by $30 Billion

A new initiative proposes to redirect $30 billion annually away from traditional financial intermediaries towards low-income households through decentralized finance (DeFi). The DeFi Education Fund (DEF) and other crypto policy groups believe that DeFi technology has the potential to significantly alleviate poverty’s financial burden. This proposal focuses on reducing transaction fees, which disproportionately impact low-income families. By leveraging blockchain technology, DeFi can offer more affordable financial tools like remittances and bill payments at lower cost compared to traditional banking services.