Pigzbe reimagines piggy banks for the cryptocurrency age
Most children have little tangible experience with money and budgeting until they grow up. And even then, a large segment of the young adult population lacks basic financial literacy. Pigzbe, a new blockchain-based platform, however, believes it can change all of that by “reinventing the humble piggy bank”.
What is Pigzbe?
Aimed specifically at children aged 6 and up, Pigzbe is a “piggy-wallet” that aims to completely replace the piggy bank paradigm with two key technologies, cryptocurrency, and blockchain. The platform uses its own native cryptocurrency, Wollo, and is built on top of the Ethereum blockchain.
The main draw here is that unlike a traditional piggy bank, Pigzbe stores a digital token balance, or more specifically, the Wollo token. While not necessarily as satisfying as a jar full of coins, it allows users the same flexibility as traditional cryptocurrencies, including, for example, receiving money from a relative living in a different country.
Pigzbe goes beyond just being a cryptocurrency wallet application though. The company will also be selling physical devices to pair with the app that can be used for receiving notifications and even as a cold storage wallet. The hardware will also be able to control key functions of the app, including games that are designed to “teach children the foundations of modern money.”
As for money management, kids will be able to check their balance and initiate transactions at any time using the Pigzbe app. Their cryptocurrency balance will also be accessible in the real world via the Wollo card that will convert the tokens, whenever required, to effectively functioning as an ordinary debit card.
Using a digital token for the platform does mean that users of Pigzbe will be affected by volatility in the same way that the valuation of Bitcoin and Ethereum changes every day. Nevertheless, the company believes that the fluctuation is not a major issue and can even be a valuable lesson for children growing up in a rapidly evolving financial landscape.
Pigzbe: Wollo ICO
The company will be giving early investors a chance to purchase the Wollo token in an initial coin offering (ICO) starting June 13, 2017. Pigzbe has set a hard cap of 170 million tokens for the ICO, which comes up to around 26 percent of the total number in circulation. The sale will not be open to residents of the United States and China, however, due to the increased regulatory restrictions imposed by these countries.
Fees for transfers on the network are designed to be as low as possible so as to not make small, piggy bank-worthy transactions infeasible. Considering that it was only a few months ago when even small Bitcoin and Ethereum transfers cost tens of dollars each, the topic is an important consideration for any micropayment platform such as this one.
The network fee for a Wollo transaction is currently a tiny fraction of the digital token Stellar Lumen. In terms of USD, each transfer will cost under one cent to successfully complete.
Wollo will also be listed on the Stellar Decentralized Exchange in the future, allowing it to be traded for other cryptocurrencies or fiat without the need to rely on third-party exchanges.
While digital tokens are still considered to be controversial due to their past affiliation with illicit activities, it is undeniable that they offer a great deal of convenience. Furthermore, if cryptocurrencies do eventually manage to replace traditional fiat currency and revolutionize the world of finance, kids familiar with Pigzbe will be able to easily transition to handling modern, real-world money once they grow up.