There has been an absolutely significant increase in the number of users of various crypto assets across Africa. However, the transactions carried out amounts to just 2.8% of total global transactions. Most users usually make use of crypto assets when carrying out transactions across their national borders because of the low transaction fees it offers them.
The number of digital asset users across the countries of Africa has thus increased by about 2500% in the span of a year from January 2021 and January 2022 whereas the figures from month-on-month exchanges went up by 1400%, as stated by another report from Kucoin.
Crypto from the South African Perspective
In a report published by Bitcoin.com news media, the sporadic development in the utility of digital assets by Africans might have been because of the general development of talents and their quick adoption of new technologies. The report gave more focus to Lagos, Cape Town, and Cairo as the leading urban centers driving the digitalization experience on the mass of the continent.
In the Kenyan capital of Nairobi, the number of digital asset exchanges is up to 64% higher than the rest of the country, the report added.
The report published by Kucoin further suggested that the high and increasing number of crypto users in the urban areas is linked to factors such as the expansion of scale vacillation. Whatever be the case, the report further stated that in countries with lower expansion rates, literate Africans usually now prefer to keep their investments and funds in digital assets.
Another factor considered as responsible for the increased number of crypto users is the continuing work of informing most people about rising financial advances. Instructive and informative projects like that are usually carried out for free by promoters. Digital asset market players such as Kucoin are positively associated with projects to inform the public about crypto assets.
The People Know!
Trying to understand how a firm like Kucoin is trying to make such more people from the continent are well-informed about blockchains and digital assets, it started with a school visit type of schooling advancement in Nigeria in the middle of 2021. It has now also extended that impact over the internet to help more people get information and necessary training with a lot of advantages.
In the meantime, the report added that up to 88.5% of the digital asset transactions carried out in Africa are for trans-border businesses. The low fees involved have been the source of encouragement to users as it has more advantages.