A survey conducted by Merchants, a Johannesburg-based company, revealed that 53% of South Africans possess no knowledge of cryptocurrencies. Just 14% have considerable knowledge. 23% of them are neutral towards technology. Moreover, the younger generation has more knowledge in comparison to the older generation.
However, the citizens are willing to learn about and adopt the digital currency if local banks decide to offer services related to the assets. The survey mentioned how crypto adoption in South Africa could boost drastically. That is if the country’s local bank decides to embrace these digital assets and launch educational programs about them. Every second participant is ready to invest in altcoins or Bitcoins if banks are involved.
Matt Conn, Group GRO at Merchants, believes it’s a great opportunity for banks in South Africa to adopt cryptocurrencies. Instead of waiting for crypto assets to establish fully, the banks should just enter the booming industry. Before consumers find a more trusted platform to start their journey.
Interestingly, despite not having enough knowledge about cryptocurrencies, many locals have already invested in crypto. 7.1% of the country’s population or 4.2 million people are HODLers reveals a study by United Nations. In terms of crypto adoption, South Africa ranks in second place while Kenya holds the first position with 8.5%.
Meanwhile, Kuben Naidoo, the Deputy Governor of South Africa’s national bank, earlier this month commented on cryptocurrencies. Naidoo believes that cryptocurrencies, particularly Bitcoin, have the potential to benefit the monetary system in several ways.
The Deputy Governor further said that they are not trying to regulate cryptocurrencies in the sense that individuals can purchase something with them. Now they intend to regulate these assets as financial assets. The executive believes that there is no need to regulate in a way that makes it mainstream. It needs to be regulated such that the protection of investors is ensured and the hype around it is maintained.
Source: https://www.thecoinrepublic.com/2022/07/24/south-africans-are-willing-to-invest-in-crypto-if-local-banks-get-involved/