Sub-Saharan Africa holds the smallest crypto economy in the world, accounting for just 2.3% of global transaction volume. Compared to other regions, it is progressing with a more retail-focused approach. Nevertheless, Africans are increasingly adopting cryptocurrency with each passing day.
Bitcoin, the most well-known cryptocurrency in the market, continues to spread across Africa, particularly in countries like South Africa, Nigeria, Zimbabwe, Ghana, and Kenya. Notably, South Africa, Nigeria, and Kenya are ranked among the top 10 countries in the world for cryptocurrency usage.
Economic instability in Africa drives people toward cryptocurrency usage. Since this form of currency is not affected by a country’s inflation, it provides Africans with an opportunity to safeguard their wealth.
Additionally, the ease of cross-border payments with cryptocurrency, its reduced vulnerability to fraud, fast transactions, low costs, and international business opportunities are other factors driving the increased use of cryptocurrencies.
Across Africa, businesses leveraging cryptocurrency technology include Akoin, Bankymoon, BuyCoins, Sun Exchange, Bitmama, Centbee, LEAF, and Cajuel.
Although cryptocurrency usage is increasing across the continent, several challenges hinder its growth. Regulatory barriers imposed by many African countries and a lack of digital literacy are among the key obstacles.
Through cryptocurrency, people can take control of their wealth. Its low cost makes it an increasingly popular option, continuing to grow across Africa.