Africa Crypto Review: South African Rand Stablecoin Launched, OKX Exits Nigeria
Africa Crypto is rising, looking at the number of new crypto startups. Meanwhile, the ZARC is now live in South Africa as OKX exits Nigeria.
Undoubtedly, there is a mega shift in the global crypto landscape. Though the United States was once an undisputed leader, Asia and Africa are emerging as fertile grounds for innovation. Various factors are driving this shift. As the inevitable wind of change blows, there is an opportunity for everyone.
Fresh data from Alliance shows that in 2024, Africa and Asia startups outpaced the United States and Canada in the number of new crypto startups.
The spike was primarily due to regulatory uncertainty in the United States, mainly due to the stringent Securities and Exchange Commission (SEC). In the past few months, the regulator has pressured the developers of Wasabi, a privacy wallet, to exit the United States market.
The gap in North America means that regions like Africa, where there is rapid digital adoption, are creating a population that’s ready for crypto, fanning innovation as a result.
ZARC Arrives in South Africa: What Does This Mean For Africa Crypto Industry?
RT @IMFNews The collapse of crypto exchange FTX is prompting calls for greater regulation of the crypto industry. Here’s what countries in sub-Saharan Africa are doing. https://t.co/14XiocMuvk #IMFBlog pic.twitter.com/4C4ZLIFq5c
— Technology and Businesses (@TechnoNBusiness) July 21, 2024
Interestingly, as this happens, governments are increasingly receptive to crypto. In South Africa, laws guide crypto and how crypto businesses should conduct themselves. Meanwhile, Nigeria is open to regulating and not banning crypto trading.
The regulatory clarity in South Africa could also explain why crypto firms continue to receive support from global venture firms. Last year, Momint received $2.7 million while NFti got $18 million, cementing South Africa as a crypto hub in Africa.
DISCOVER: The Best Meme Coins to Buy in July 2024
As Africa’s crypto scene blossoms, the following news made headlines this week:
- To drive financial inclusion in South Africa, NeoNomad launched a hybrid exchange and a ZAR stablecoin, ZARC. The ZARC, more like USDT, is pegged 1:1 to the ZAR. Users can quickly and cheaply move funds across borders using ZARC. The platform will use Solana Pay for instant transfers, where transactions can be made using QR code scanning. To onboard more users, they plan to launch the NomadLearn educational program and the DecentraLounge later this year.
- During the DecaHack Hackathon event, Adedayo Adebajo, the co-founder of ICP Hub Sahara, pointed out the need for Nigerian youth to adopt the blockchain. During the same event, a representative highlighted how web3 innovations can help create solutions to fill gaps in web3.
- Citing changes in local regulations, OKX, a leading crypto exchange, has withdrawn services in Nigeria. Trading, withdrawal, and deposit will stop on August 16. Before this announcement, OKX suspended Naira withdrawals in May 2024. It was amid accusations that Binance, an OKX competitor, was helping manipulate Naira prices and allegedly involved in money laundering and tax evasion. In May 2024, OKX also suspended crypto trading services for Hong Kong clients.
EXPLORE: AXS Price Analysis: How Will AXS Crypto Hold Up Amid $15M Token Unlock
Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
99Bitcoins may receive advertising commissions for visits to a suggested operator through our affiliate links, at no added cost to you. All our recommendations follow a thorough review process.
Free Bitcoin Crash Course
Learn everything you need to know about Bitcoin in just 7 days. Daily videos sent straight to your inbox.
