Africa could leverage cryptocurrency opportunities

Significance

The installation is the result of increased demand for easier access to cryptocurrency in the country and reflects the growing interest in cryptocurrencies across Sub-Saharan Africa. Expansion of the region’s cryptocurrency market is spurred by opportunities in alternative finance and remittances industries. This is further supported by an increasing shift towards a ‘technology first’ approach to regulation, prioritising innovation while still guarding against misuse, in its leading economies.

Impacts

• The development of regulatory sandboxes regionally should result in a significant increase in fintech start-ups in the short-to-medium term.
• There will be growing interest from international cryptocurrency and blockchain companies seeking to harness African market opportunities.
• Regulators will initially address the risks associated with cryptocurrency by embedding them within existing legal frameworks.