If a country wants to grow in greatness, it must increase its rate of personal savings. To do this, countries need to create products that allow savings habits to be developed across the whole income range of the population. The masses must have a means to save large, small, and micro amounts.
At present, there are countries that have good savings mentalities and some that don’t. In Germany the savings rates hit 11.5% of income in 2024. France’s 4th quarter 2024 household savings rate was 18.4%. These are good, but they can be bigger, greater. The country lagging in the savings race is the United States of America. In 2024 the US personal savings rate was 3.8%, which is lower than the long-term average of 8.56%.
To be great, this must go up.
In times past, a pillar of US savings power was US Savings bonds. In the 1950s,1960s, and 1970s US savings bonds were given for births, weddings, and graduations. They were bought, given, and held to maturity with a sense of pride in the USA.
Pride and savings should combine again.
Also, Christmas Clubs used to be popular in the US. Workers, usually in the retail space, would save money every paycheck. The interest earned was very low if anything at all, but at Christmas time they had money for Christmas gifts.
Conceptually, a product combining the features of US Savings Bonds and Christmas clubs could be a key to savings in the United States, or elsewhere, growing and leading to greatness.
To be fair, both ideas still exist in the United States. The problem is that there is a minimum amount of $25 dollars to buy US savings bonds, and savings clubs are long forgotten. For a savings program to have teeth people must be able to invest “micro” amounts on a monthly or bi-weekly basis. Frankly, a $25 dollar minimum is too much and acts as a headwind to true savings.
A habit of saving “micro” amounts can lead to saving small amounts, and small savings can lead to large savings amounts over time.
It is a habit of savings that is a progression from “micro” to large that can help make a country great.
Crypto, more specifically stable bonds and coins can fill this role. With crypto a saver can invest micro amounts on a regular basis.
To this end, companies like Etherfuse can provide stable short-term government bonds and stable coins denominated in US dollar, Mexican peso, Brazilian Real, Euro, and UK pounds to savers for as little as $1.
With Etherfuse’s products all sorts of people can start regular savings programs in US, Brazil, Mexico, Europe, and the UK no matter how limited or great their funds are at present.
In the end, governments must wake up and find ways to bring more people into the savings game, if they want to be great.
Crypto is a solution and it should be embraced.
This blog is for educational and informational purposes only, covering general market trends, industry developments, and asset features. Nothing herein is investment advice, a solicitation, or a recommendation to buy or sell any assets. Etherfuse and its guests may hold stakes in some or all of the assets discussed.
