Financial Inclusion Limits

Definition ∞ Financial inclusion limits are barriers or restrictions that prevent certain populations from accessing or fully utilizing financial services. These limits can stem from regulatory requirements, lack of infrastructure, high costs, or discriminatory practices. They hinder participation in the formal economy.
Context ∞ The discussion around financial inclusion limits in crypto news often contrasts traditional banking hurdles with the purported accessibility of decentralized finance. While cryptocurrencies offer potential solutions for the unbanked, regulatory requirements like Know Your Customer (KYC) procedures can also introduce new limits. Balancing regulatory compliance with broad access remains a significant challenge for the digital asset sector.