Cryptocurrencies taking over Africa

Cryptocurrencies taking over Africa | best crypto currency app

African nations are increasingly looking to Bitcoin as a method to fight growing inflation. Bitcoin and Africa working together to fight inflation.

According to a recent survey, a significant South African financial organisation, use of cryptocurrencies surged on the continent by 1,200 percent between July 2020 and June 2021. 

Three African nations, Nigeria, Kenya, and Togo, are among the top ten nations in the Chainalysis company's ranking of the Global Crypto Adoption Index, which accurately gauges the level of crypto adoption in various nations. On the other hand, South Africa and Tanzania are ranked 16th and 20th, respectively.

The widespread use of Bitcoin and its "siblings" is unquestionably connected to both the reliance on overseas remittances and the extremely high inflation rates throughout nearly the entire African continent. Digital currencies enable us to address this gap because the African continent has the biggest number of people without a bank account.

Nigeria emerged as the most cryptocurrency-friendly nation in the world, according to recent research by analytics company Statista, with about one-third of its citizens reporting using or having cryptocurrencies in their wallets.

Despite the IMF's best efforts to block this decision, the Central African Republic, one of the world's poorest nations, became the second state to recognise Bitcoin as legal cash on April 27. Sango Coin, the state's first cryptocurrency, debuted on July 4. Cryptocurrencies and South Africa One of the leading nations to adopt Bitcoin and cryptocurrencies in general is South Africa.

By creating legislative frameworks, creating CBDCs, and actively utilising blockchain technology, South Africa is incorporating cryptocurrencies into its economy and community. In South Africa, holding and trading cryptocurrencies are both acceptable forms of activity.

However, it appears that the trend will continue to grow in the coming year as well. According to a Kucoin exchange report from April 2022, the number of cryptocurrency transactions across the African continent rose by 2.670 percent between April 2021 and March 2022. The study found that cross-border transfers make up more than 88.5 percent of African cryptocurrency transactions. Low fees are the cause. Users frequently pay less than 0.01 percent of the total amount of the cryptocurrency transaction.