TL;DR Breakdown
• Cairo has seen major crypto usage increase.
• African crypto users prefer cross-border operations due to their low commissions.
Using cryptos in Africa has gained much interest among decentralized market fans. Crypto users are not only high-profile companies, but small investors are also seen participating in the market.
According to KuCoin, a major crypto exchange, decentralized operations in the region rose by 2500% percent in 2021. This high figure would represent over 2 percent of crypto transactions globally, indicating that Africa is one of the main countries that use cryptos.
Africa’s crypto operations in 2021
It is easy to understand there is a large flow of crypto users globally, considering that tokens like Bitcoin are valued at over $40000, and it is easy to invest in them. A KuCoin report indicates that Africa is one of the main countries that benefit from the decentralized market.
The report shows that the continent has promoted crypto from public companies to private firms looking for a piece of the profits on crypto investments. However, the largest crypto users flow is attached to thousands of African enthusiasts who have hope for the new financial market.
KuCoin’s claims are the subject of a complex investigation into crypto movements in the territory. It is revealed that decentralized transactions from 2021 to this year increased by approximately 2,500 percent. The figures show that crypto operations are low and high profile, which shows that companies are encouraged to do them and citizens with limited funds.
Crypto users increase in cross-border operations
The cryptocurrency market has been used for passive investments or trading. Crypto users look for it as a tool to send their money between countries in Africa or even between continents. According to reports, these virtual transactions have an interest rate lower than those usually processed through the fiduciary currency of each African country. But crypto users prefer these operations because of how the money is sent, which usually takes no more than a minute.
At least 88 percent of crypto users on the continent use cross-border operations to flee from high interests. More cryptocurrencies are used in Cape Town, Lake, and Cairo, besides the fact that cryptos are frequently used in conflictive countries such as Kenya and Nigeria. Crypto-transactions on the continent are expected to increase further in 2022.
Source: https://www.cryptopolitan.com/african-crypto-users-increased-2000-percent/