Financial exclusion remains one of the greatest global challenges of our time. According to the World Bank’s 2021 report, approximately 1.4 billion adults worldwide still do not have a bank account or access to formal financial services, limiting their economic and social potential. In this scenario, Web3 emerges as a revolutionary promise capable of transforming how money and financial services are distributed, making them accessible, transparent, and inclusive for all.

Financial inclusion means ensuring that individuals and businesses have access to useful and affordable financial products and services that meet their needs, whether for payments, savings, credit, or insurance. Lack of access keeps billions of people on the margins of the formal economy, hindering personal growth, stability, and the economic development of entire communities.

Web3, built on decentralized technologies like blockchain, cryptocurrencies, and decentralized finance (DeFi), offers an open infrastructure that can reverse this historic exclusion. For example, the total value locked (TVL) in DeFi platforms grew from about $1 billion in 2019 to over $40 billion in 2023, according to DeFi Llama, demonstrating rapid growth and adoption. Here’s how these technologies work:

• Blockchain as an open and immutable infrastructure: By removing intermediaries and enabling secure, transparent records, blockchain creates a trusted environment for global financial transactions, even for those without bank accounts.
  
  

• Cryptocurrencies as accessible means of exchange: Unlike traditional money, cryptocurrencies can be accessed via a smartphone and an internet connection, without relying on conventional financial institutions.
  
  

• DeFi (Decentralized Finance): DeFi platforms offer financial services, such as loans, savings, and insurance,  in an automated and accessible way, democratizing access to products previously restricted to large banks.
  
  

Several Web3 projects are already making a real impact on financial inclusion:

• Adoption in developing countries: Chainalysis’ 2023 research shows that countries in Africa and Latin America exhibit cryptocurrency usage for remittances and payments up to 5 times higher than the global average, highlighting Web3’s importance for traditionally excluded populations.
  
  

• Stablecoins: Usage of stablecoins grew by approximately 150% in 2022, especially in high-inflation regions, allowing people to protect their purchasing power against local currency devaluation.
  
  

• DeFi platforms: Applications like Aave and Compound facilitate loans and savings without bureaucracy, expanding credit access to those outside the traditional banking system.
  
  

Despite the opportunities, financial inclusion via Web3 still faces significant obstacles:

• Internet access and digital literacy: According to data from the International Telecommunication Union (ITU) in 2023, approximately 2.7 billion people still lack regular internet access, the main barrier to adopting these technologies.
  
  

• Regulation and security: Lack of clear regulations can create uncertainties and risks for users and businesses.
  
  

• Scalability and costs: Some blockchains still have technical limitations that hinder fast and inexpensive transactions.
  
  

Decentralized governance models, such as DAOs (Decentralized Autonomous Organizations), empower local communities by allowing members to decide priorities and allocate resources to initiatives related to financial inclusion, education, and sustainable development.

Web3 is still in its early stages, but its potential to transform access to financial services is enormous. The combination of decentralized technologies, community governance, and innovation can create solutions capable of overcoming historic barriers to exclusion. Achieving this will require addressing infrastructure, education, and regulatory challenges, as well as fostering collaboration among developers, users, and regulators.

Financial democratization through Web3 represents a profound shift in how we think about money and access, paving the way for a fairer and more globally accessible financial system.