Where is Africa in the adoption of Cryptocurrency?
Google team has confirmed that Africa still dominates Google trends search interest for "Bitcoin," but when it comes to the ground, there is nothing to reflect the much attention being expressed on the search engines. Blockchain technology which powers Bitcoin is considered to be the fourth industrial revolution that will change how we work, live and interact. A blockchain is a group of connected computer systems that record transactions in a ledger and in real-time. The technology is currently revolutionizing the financial world by slowly removing the components of centralization through the development of cryptocurrencies. The best thing with cryptocurrency is that it is not confined by geography but rather an internet-based system where the transactions are stored in a database which we refer to as Blockchain.
"Bitcoin" Search team On Google Trends Map – Top 5 Countries of 2017
How is cryptocurrency different from mobile money or MasterCard?
Unlike mobile money, cryptocurrency is not regulated by the government, doesn't need an intermediary, and the transactions rely on the internets. Therefore they can be performed at any place worldwide.
Will the continent's interests towards cryptocurrency grow into the disruptive innovation that will blossom on this continent?
Cryptocurrency has not been widely adopted in Africa despite the massive interest from the continent and the considerable frustration Experienced by Global payment solutions such as PayPal, which barred Nigeria from receiving international money using its platform. There are also many cases of accounts being permanently limited with no prior notification and even withholding money for more than six months.
V A permanently limited PayPal Account
Challenges for Cryptocurrency Adoption
But why is the continent that has so much to gain from the adoption of cryptocurrency not experiencing massive adoption? According to Forbes, apart from the lack of awareness and opaque regulation, one of the main reasons for the failure is the extensive use of mobile money in the continent. There are a few occasions where Bitcoin is used as means of payment, and mostly it involves oversee supplies. However, Cryptocurrency is finding it difficult to break the throttlehold of effectiveness, simplicity, and convenience that attracts millions of Africans to Mobile money. The continent that boasts a population of 1.2 billion is the home for over 50% if the Global mobile money service. Armed with a mobile phone, one can receive and send money in the region without the need for internet connectivity. This means that cryptocurrencies will have to face stiff competition from the mobile money dominated payment systems on its quest to gain a reasonable market share.
Source: "THE EXCHANGE"
When compared to cryptocurrency, where you must have a smartphone and a secure internet connection to complete the transaction. This is a considerable challenge because Internet users from Africa account for only 10 percent of the global total, thus making crypto even more cryptic in the continent. Another issue is the unpredictable power supply that affects access to the internet and Crypto mining, which largely depend on power.
The Cumbersome crypto registration process also dissuades its use. It seems hard to get the word out about crypto's potential with some consumers holding on to the fears that it is too technical to be used on the daily bias, especially for the continent that is striving to move away from the volatile Fiats. Additionally, compelling blockchain and crypto projects that are meant for the African market depends on developers and engineers who can deliver it. This means that training new talent and enticing expertise globally is crucial in enhancing mainstream adoption.
I believe Africa needs a cryptocurrency that will unite its various National currencies, a currency that has not been hijacked by multiple influences. A cryptocurrency that will hold the societal shortcoming and one which is entirely decentralized and not influenced by central powers. A working model will be the integration of cryptocurrency with a mobile banking platform.
