In this week’s crypto Africa news round-up, is Kenya the next crypto mining hub on the continent? What’s next for Binance as Nigeria adjourns case against executives, and as South African crypto market braces for major election – what does this mean for Bitcoin in the Republic?
From Kenya to South Africa and Nigeria, winds of crypto change are refreshingly blowing across the continent. After years of rigidity, especially in Kenya, the government, led by the President, is warming up to crypto.
Glad to have contributed to the Luno's State of Crypto in Africa Report.
You can read the report here: https://t.co/VjQtxmBSVV#ABI #Blockchain #Crypto #Africa pic.twitter.com/RgIFEAUQ6k
— Káyọ̀dé Babárìndé (@KPBabarinde) April 30, 2024
Binance executives continue to be held in Nigeria, with their trial postponed again to mid-May. While South Africa prepares to vote later this month, it is at the forefront and keen on finding more use cases for crypto. Players in the South African scene are also making strategic moves across the region.
Catch-Up: Last Week’s Crypto Africa Week in Review
Kenya Crypto Hub? President William Ruto in Talks With Marathon Digital For Crypto Mining Operations
President William Ruto, the President of Kenya, recently revealed that they had invited Marathon Digital Holdings, one of the leading Bitcoin mining firms with mega operations in the United States, to consult with the country’s National Treasury and Ministry of Energy.
If Marathon Digital sets up a mining farm in the country, it would be a big boost for Kenya and the miners. Recently, MARA share prices fell following tumbling BTC prices.
Using Kenya’s cheap geothermal energy, Marathon would reduce operations costs, help push the hash rate powered by green energy even higher, and increase their capacity.
NEW: 🇰🇪 Kenya's President says #Bitcoin miner Marathon is consulting its National Treasury and Ministry of Energy about mining in Kenya.
"Kenya means business." 👀
— Bitcoin Magazine (@BitcoinMagazine) May 2, 2024
President William Ruto invited the Bitcoin miners years after the Central Bank of Kenya warned that cryptocurrencies, especially Bitcoin, are unregulated and may be misused by criminals.
This shift signals a possible changing regulatory landscape when Kenya prepares laws around crypto.
South Africa Election: Politics and Crypto Regulation Grip Market
South Africa is undoubtedly a frontrunner in African crypto regulation. It recently issued the first-ever crypto licenses to 75 firms, including VALR, a crypto exchange.
This move empowers these firms and positions South Africa as a progressive player in the global crypto market.
Reports show that VALR is already expanding globally. The latest news shows they are seeking more licenses in Mauritius and Dubai, halting their expansions to Kenya and Nigeria.
This licensing regime positions the country as a progressive player in crypto. Most importantly, it acknowledges the growing importance of blockchain as they actively align with fast-changing global trends.
So far, the Financial Sector Conduct Authority (FSCA) is leading the charge in expanding South Africa’s legal framework to feature CBDCs as financial products.
🇿🇦The FSCA in South Africa has approved 75 institutions as crypto asset service providers (CASPs) pic.twitter.com/ipV7aLtgTR
— Kashif Raza (@simplykashif) April 24, 2024
Despite upcoming national elections, crypto policies will likely remain unchanged. Recent reports show that the Intergovernmental Fintech Working Group is actively exploring the potential of CBDC and tokenization.
Case Adjourned But Nigeria Still Holding A Binance Executive
Days after the United States sentenced the former Binance CEO to four months in prison, a court in Nigeria once again adjourned the money laundering trial against Binance and two of its executives to May 19.
Nigeria claims Binance is behind in all its currency woes and operates without registering. Prosecutors in Nigeria have charged two of Binance’s executives (including Nadeem Anjarwalla, who escaped to Kenya) with money laundering and tax evasion.
Binance maintains its innocence and wants its employees released more than two months after they were arrested on February 26.
EXPLORE: How Are Bitcoin Mining Stocks Performing? MARA Shares Slumps as RIOT Posts $211M Q1 2024
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
