According to a report by crypto exchange KuCoin, the number of crypto users in Africa jumped by 2,670% in 2021! In terms of dynamics, the African continent is seeing a progression in the adoption of cryptos much higher than other areas such as Europe, Asia, or the United States. What if the future of crypto was being played out in Africa?
KuCoin is a well-known crypto exchange. The platform has just published a report which shows that crypto users in Africa have increased by… 2,670% in 2021! In other words, this means that the number of people using crypto in Africa has increased 25 times in the space of a year!
If for the moment, Africa represents only 2.8% in terms of global crypto volumes, the progression of crypto users on the continent is incredible. For Johnny Lyu, CEO of KuCoin, the African continent has the “highest crypto adoption rate in the world, exceeding that of the regions of Europe, the United States or even Asia”.
“Look at how cars, cellphones, and consumer electronics have taken off on the continent. Africa is a continent where ultra-rapid progression and adoption are commonplace. » Nourou, creator of Bitcoin Senegal
Why is Africa Embracing Crypto?
If we try to characterize crypto transactions in Africa in detail, we see that a very large part (about 88.5%) are international transfers. Indeed, with its low fees, crypto becomes a cheaper way to send money abroad compared to traditional players such as Western Union, etc. Moreover, the population in Africa is very young and familiar with new technologies, which makes it an ideal breeding ground for cryptos.
the CEO of the KuCoin exchange as for many, Africa has everything to become tomorrow a stronghold for cryptos. However, this will require that mass adoption is not blocked by coercive regulations and repressive local decisions.
“This [crypto] growth rate may depend on both local policymakers and the positions of separate officials on cryptocurrencies. Yet, I believe that a bright future for digital cash in Africa is inevitable. (…) The financial problems in the region are forcing people to look for new instruments and technologies that can give them some of the economic freedom they currently lack. Johnny Lyu, CEO of crypto exchange KuCoin