Major African nations, Nigeria, Kenya, and South Africa, face increased use of cryptocurrency payment methods.
High transaction costs paired with increased global fiat inflation and overall inconveniences have only supported the rise of the new money era. When it comes to value remittance, fiat currencies have nothing on decentralized digital coins. This has led to widespread acceptance of cryptocurrencies, and African nations are heavily driving this.
Major Updates
- Crypto transfers in Africa’s crypto giant, Nigeria, surges over 65%.
- Kenyans intend to extend crypto use as transfers reach 43%.
- South Africans expand crypto use with higher 41% transfer rates.
The latest studies by MasterCard Payment Index have revealed by African countries have experienced an increase in cryptocurrencies, especially since the rise of the COVID-19 pandemic. This does not just boil down to trading and investment but majorly with cash transfers.
The crypto-mania has penetrated major nations, including Kenya, Nigeria, and South Africa. They have all joined in on the crypto bandwagon so much so that these countries have shown significantly higher rates with cash transfers using cryptocurrencies
For Nigeria, anti-crypto regulations and warnings from government bodies have failed to reduce crypto activities in the nation. Neither the CBN directive nor EFCCs warnings can deter the fast-growing crypto rates in Africa’s largest crypto market.
For South Africa, the rise of Scam Bitcoins from 2020 has also massively affected the South Africans crypto community. Fortunately, the country is doing a great job recovering with the arrival of new local crypto ETFs.
In Nigeria, cryptocurrency transactions have spiked up by over 65% following the previous regulations and warnings for the CBN, EFCC, ABCON, etc.
As for Kenya, cryptocurrency transactions have also significantly surged by over 43%. This is recorded as many individuals intend to and are currently using cryptocurrencies as a more quick and cost-efficient transfer option.
Conclusion
Lastly, we have South Africa with a cash transfer via cryptocurrency rate of 41%. This is quite impressive as locals have significantly withdrawn from cryptocurrency use ever since last year.
Negative sentiment paired with anti-regulation in South Africa has similarly failed to quell crypto use.
Overall acceptance of cryptocurrencies have surged amongst Africans, and recent studies have proved this. One good example is the announcement by the P2P crypto exchange, Paxful, that Nigerians made up a greater part of their user population.
Question of the Day
Where do you think cryptocurrencies are heading in Africa?
