How Crypto Can Help Women Build Generational Wealth
“Overcoming the fear of money is necessary to thrive in any aspect of life.”
On one hand, we have this narrative that crypto is going to transform old-school finance and bring a new wave of inclusivity. But on the other hand, we see that the space is marred by the same structural biases that play out in legacy finance like the lack of diversity on decision-making tables.
There is no doubt that we have many trailblazing women pioneers to look up to in every major economic sector. Yet, the gender gap in most crypto communities is glaring to put it mildly! Women (and members of the non-binary community) are unmistakably underrepresented and underserved; both in terms of spearheading blockchain projects and in using blockchain-based applications to optimize their wealth.
Here’s why we need to close this gap:
- Financial independence is crucial for women:Overcoming the fear of money is necessary to thrive in any aspect of life.As more and more women take charge of their lifelong financial wellness, crypto can become an important tool in helping women achieve true financial independence along with the freedom and contentment it brings. Crypto is a once-in-a-lifetime wealth-generating opportunity. For one, Bitcoin has outperformed any other asset in the last decade. Women should take the lead in getting familiar with this new asset class that harbours the potential to build generational fortunes.
- Women have fierce budgeting skills, a vital requisite for navigating through complex financial markets: Women tend to have a longer-term investment horizon as compared to men, giving them a substantial advantage on the “fear & greed” indexes. Women are also more disciplined and future-oriented when it comes to finances which helps them approach investing in a smarter way. Recent research by Fidelity Investments that has evaluated more than 5 million investors over the last decades has found that women investors outperform their male counterparts.
- DeFi facilitates simplified loans and borrowing opportunities: For the uninitiated, crypto assets are a product of a bigger movement that thrives on decentralization of power. The crypto space consists of many remunerative DeFi applications that facilitate simplified borrowing and lending opportunities for traditionallyunderrepresented communities. This can help women participate in financial markets, optimize their investments, and raise the money to fund their enterprises.
- Crypto and decentralized finance are the future: One of the most important reasons why women should get on the blockchain bandwagon is that blockchains are going to define the future of the global economy.
Why Act Now:
They say that in matters of building wealth, time is more important than wisdom. Do not forget that compounding was pronounced to be the eighth wonder of the world by Einstein. A small seed you sow today will become a burgeoning tree one day. You may find the prospect of investing daunting to start with, and rightly so.
But remember, it’s always the first step that’s the hardest.
How To Start:
My advice to all women is to not be under the mistaken impression that investing is instinctual. Start with an education-first approach and take it one step at a time.
Best of Luck!
About the Contributor:
LWL Victoria, Sanjula Mohan, Director of Operations at TeraBlock, shehas an extensive track record of advising businesses and start-ups on a range of matters of core importance including strategy, business growth and digitalisation. Having held important roles in areas such as brand communication and due-diligence, she brings considerable experience of working across different sectors in positions of responsibility and complexity.