Sunday, November 29, 2020
Home Uncategorized Africa’s Biggest Economies Sees Regulators Rushing To Hop On Crypto

Africa’s Biggest Economies Sees Regulators Rushing To Hop On Crypto

It was back in August of 2018 when a report was made in regard to Africa and its cryptocurrency regulation. This report made one clear conclusion across most of the countries: They were completely indecisive as to what to do.

Moving Towards Crypto Adoption

Twenty-one countries across Africa had yet to make a public stance on crypto regulation as a whole at the time, with only two countries seemingly showing favorable stances in regards to regulation. Even so, Nigeria and South Africa, two of the largest economies within the continent, have started to gear towards making regulatory plans.

It was back in April when South Africa made its first steps into creating cryptocurrency laws, publishing a framework proposal to try and regulate it. Nigeria, in turn, had already laid out plans to regulate cryptocurrencies through its Securities and Exchange Commission. This stands as a contrast of just two years prior, when Nigeria’s lawmakers had asked the country’s central bank to investigate Bitcoin, believing it to be one big scam.

Kenya Lagging Behind

Even so, progress is uneven, even now. Kenya, a country typically at the forefront of financial technology solution adoption within the continent, has yet to make any concrete plans for regulation. The last thing occurring there on that front, is the Kenyan central bank warning local banks against dealings with cryptocurrencies.

Aly-Khan Satchu stands as a financial analyst and investor based in Nairobi, and stated that his country seems to be in a state of limbo regarding this. In Satchu’s opinion, the overarching situation is the spillover effect from the governor of the Central Bank taking such a hard stance against crypto at large.

Africa’s People Keen For Crypto

This legislative reluctance doesn’t spread out to the people, however. Crypto startups and local users across the continent at large aren’t bothering to wait for the regulators to play catch-up. Crypto trading within Africa has seen significant growth, and is partly being powered by home-grown exchanges that operate within this regulatory grey area. Chainalysis, a blockchain market intelligence firm, showed that the retail Bitcoin transfers in Africa, which is transfers less than $10,000 in value, reached a total volume of $316 million in Africa, back in June this year.

Luno stands as one of the oldest crypto exchanges within Africa at large, and made note that the trading volumes for just South Africa and Nigeria have gone past the $549 million mark in August. This stands as a 49% increase since the year’s start. BuyCoins stands as a Lagos-based crypto exchange, has been in operation for three years. According to BuyCoins, it had already processed $110 million in transactions for this year alone, having only achieved $28 million for 2019’s entirety.

Popular Articles

Ripple CTO David Schwartz Is An XRP Whale. Here’s How Much He Owns

Advertisement     Ripple CTO David Schwartz earlier this week told the world how much XRP he owns and it’s a significant amount — automatically making...

Bitcoin returns to $18,000 as investors are mixed over what’s next for the bull run

Bitcoin is finally showing some strength after a brutal correction to $16,200 earlier this week.The leading cryptocurrency has bounced to $18,000 as of this...

Tyler Winklevoss On Bitcoin at $18k, “This is not a FOMO rally. It’s steady hands.”

Advertisement     Tyler Winklevoss the Co-Founder and CEO of top cryptocurrency exchange Gemini, says the Bitcoin rally that took the price to over $18,000 is...

New Van Eck Bitcoin Note Gives Hope to Traders

Van Eck Associates Corp. has introduced a bitcoin exchange-traded note on a German crypto exchange. The trading platform is known as the Deutsche Boerse...

Here’s the Bitcoin Price that “All the Key Levels” are Currently Pointing To

Bitcoin and the aggregated cryptocurrency market are currently pushing higher, with bulls moving to erase all of the losses that came about as a...

What Analysts are Saying About Bitcoin as It Reaches Overhead Resistance

Bitcoin is fast approaching a long-watched overhead resistance level formed in the time following its recent rejection at its $19,500 all-time highs. The selling pressure...