UNICEF Called For Child Safeguards Amid Growing Adoption Of Crypto

UNICEF called for child safeguards amid the growing adoption of crypto and the possibility of greater financial inclusion so let’s read more in today’s latest cryptocurrency news.

UNICEF called for incorporating child safeguards into the online child protection initiatives due to financial and exploitative threats posed by the unregulated crypto markets. The Prospects for Children in 2020 report which examines the impact of the global trends on children, awaits for bigger mainstream adoption of crypto which only shows both the promise of greater financial inclusion and the need for child safeguards. The reports show that digital currencies gained a lot of interest in 87 countries by the end of 2021 with the majority of governments experiencing their own version of the central bank digital currency. UNICEF also expects a similar trajectory for future growth this year as the report stated:

“A potential alliance between governments, large banks and investment firms against challenger banks and blockchain-based finance could arise in many countries.”

The push for crypto’s mainstream adoption is fuelled by the economic pressure levied by the COVID pandemic. As UNICEF reported the recovery in the high-income countries will see an increase this year despite the future disruptions of the pandemic. UNICEF also expects a collaboration of governments, banks, and investment companies with other crypto companies:

“These developments will eventually require the emergence of national and international legal and regulatory frameworks. As we wait to see what direction these trends take us in, the implications for children hang in the balance.”

With mainstreaming of crypto, the organization acknowledged the significant benefits via the financial inclusion and frictionless remittances that bring transparent and efficient social assistance programs. The United Nations agency also warns about the threats of the unregulated markets to teh well-being of children like stability and deteriorating government revenues. Calling out for the child safeguarding reforms, the report outlined some of the possible negative impacts of unregulated transactions which support child trafficking, sexual explotation and selling of content showing child abuse and defrauding extortion of children:

“Now is the time to begin incorporating cryptocurrency and digital currency child safeguards into online child protection initiatives.”

According to crypto.com the global crypto users will reach one billion by the end of 2022 and the global crypto population increased by 178% in 2021 increasing from 106 million to 295 million. The reports show that if we extrapolate a similar rate of increase in 2022, we can even see 1 billion users by the end of 2022.