Jack Dorsey and Jay-Z sparked some controversy in 2022 after establishing The Bitcoin Academy which focuses on empowerment through financial education. The uptick in Bitcoin’s recent price and possible Bitcoin ETF approval may prove the rap mogul was right about Bitcoin all along.
Their website references bitcoin as the financial system of the future and offers free courses to residents at Marcy Houses. The complex, where Jay-Z grew up, is currently the sole site for the program, with the potential to expand to other cities.
“Underserved communities have long been disadvantaged when it comes to building wealth. However, with the advent of bitcoin, there is now a unique opportunity,” Dawdu Mahama-Amantanah offered in our interview. Mahama is a self-proclaimed bitcoin enthusiast and the host of The Bitcoin Source, a podcast dedicated to bitcoin education.
According to 2021 data from the NORC at the University of Chicago, 40% of cryptocurrency investors are people of color. The data suggests an overrepresentation of those communities when compared to US population demographics.
Federal Reserve data paints a stark contrast in household net worth by race. Hispanic households held about one fifth of the net worth of white households on average, with the African American average net worth coming in slightly lower than Hispanics.
Mahama points to historical policies like redlining creating intergenerational memories of distrust with the financial system. He believes bitcoin can start to help heal those wounds and close the gap in wealth.
“Bitcoin is not a get rich quick thing. We talk about it like a generational wealth type thing. It’s like starting to buy land in Manhattan before anyone realizes its Manhattan,” Lamar Wilson, founder of the Black Bitcoin Billionaires club told me in our interview.
BBB grew organically out of a 24,000 member Facebook group named Koinda. Members eventually recommended that Wilson look to Clubhouse to expand his efforts. The BBB Clubhouse now stands at more than 163,000 members.
Clubhouse allows them to serve as a conference with more interaction from members of the group. “We utilize technology to advance people that are marginalized. It doesn’t matter the color, our focus is the have nots,” Wilson explained. He told me that they only wanted to educate, but inadvertently ended up building a community.
Wilson keeps people engaged by giving away bitcoin to those who ask questions. Soon people in the audience started donating to keep the programs going. “One day, Jack Dorsey was in the audience and asked how he could help,” Wilson recalled. The club is now sponsored by Cash App, as well as a few other bitcoin related companies like Casa, Exodus, and Fold.
Bitcoin and crypto exchange Kraken also funded $20,000 grants for five members of the club attempting to start companies. According to Wilson, they were also able to give out bitcoin to more than 8000 families through their Satoshi Millionaire Challenge, ran in partnership with Cash App.
“We try to give opportunities to people and places that don’t typically get it,” Wilson elaborated about those efforts. By educating people on bitcoin, Wilson believes they can begin to level the playing field to make sure marginalized communities have the access to the same information and wealth building technology.
Wilson and Mahama continue their efforts, focusing on intentionality with communities in order to drive lasting change. They view bitcoin as a means for building wealth which can help break the cycle of poverty and inequality. “Now you can escape the system. You may not have a lot, but at least you can be free,” Wilson concluded.
