Over the past years, cryptocurrency transactions in Africa have increased considerably, and the popularity of crypto technology is expected to upsurge as the continent walks towards big improvements in its financial system and solutions. We constantly been talking about the tech-savvy population in Africa that has been embracing new opportunities brought about by the implementation of digital technologies and virtual currency as part of their daily lives.
Africa is indeed well prepared for the wave of advantages that a crypto boom can bring. Entrepreneurs, the youth, and new professionals entering the market are often disengaging with the traditional financial models and exploring new ways to exercise their abilities, make a profit and build up their names in different markets. Even after a period of economic decline triggered by the COVID-19 pandemic, the African cryptocurrency market still experienced slight growth, but a moment of crisis shed light on some shortcomings that the continent still has to overcome to enjoy the full potential of crypto assets as part of its reality. Since this moment of expansion, reflection, and reassessment, different African nations have been investing in innovative solutions to overcome challenges and make cryptocurrencies a viable tool that can walk side-by-side with emerging markets inside the continent.
As companies keep finding new spots to strengthen their presence in the African market, the complexity of blockchain technology becomes less intimidating and more promising to businesses in different sectors. Cryptocurrencies are of extreme relevance to the current worldwide trading scenario and pave the way for new governmental structures, financial exchanges, and supply chains, which directly impact the way brands develop inside the African territory. Blockchain solutions can accelerate the growth of businesses still in embryonic stages, and those who have already solidified their positions in the market can also reap the benefits of upgraded trading channels that can be created as this technology popularizes.
The implementation of cryptocurrencies can particularly benefit small and medium-sized enterprises venturing into the African market without total capacity or reliable resources to handle the myriads of customs bureaucracy inside a continent constantly being watched by the world. With crypto technology, parties could agree on processes and exchanges that rely on digitalized transactions and agreements, allowing growing traders to extend their presence without worrying about standardized procedures that might negatively impact their economic benefits.
Furthermore, the fact that Africa is entering an era of crypto revolution with a curve that tends to keep going up also makes the territory safer for entrepreneurs and enterprises willing to give Africa a try. Crypto technology makes traceability a basic standard in the business world and helps ensure simplified quality control assessments, certified products, users, and contracts and agreements signed with more transparency and less margin for errors. The list of benefits also includes a sweet escape from paper-based systems that can delay negotiations and make the development of a newcomer company often stuck in some details. Africa’s crypto journey seems to be walking in a direction that addresses this bottleneck, and crypto-technology is here to widen the scope of business words and enterprises looking for tools that can boost their growth and make it inclusive, fitting the multiculturality of the African continents and the various needs of the African population.
Last on the bucket list of “aspects to enjoy about blockchain technology and cryptocurrencies” is the fact that these solutions are also inclusive and can open new opportunities for new agents to join the supply chain. This wouldn’t be possible in a more standardized system that requires any actors in the supply chain to have a bank account, for instance. The hallmarks of this outdated system do not align with the reality of millions of unbanked citizens in Africa that, despite this condition, still put effort into building their lives. Simplified e-payment platforms and digital wallets, like our KamWallet, hit the market to optimize cross-border transactions and trades with a more accessible framework that can increase the participation of smallholders inside different industries and make them an active part of the continent’s financial market.
The implications of crypto and blockchain technology adoption are huge for the world’s fastest-growing continent, and it nourishes many new possibilities for those willing to establish new connections inside its emerging economic scenario. If agents, shareholders, stakeholders, businesses, and ideas of all sizes and at all stages can make their way into the African economy, there will be many prosperous pathways to explore throughout the continent, collaborating directly with Africa’s journey towards a more solid position in the global economy.
A passionate Crypto investor since 2012, with deep understanding of marketing and business development, over the past few decades Dov Marcus has built many successful multi-million businesses as an entrepreneur and as an investor.