Rise of cryptocurrencies in Africa. That’s both good news and bad

Bitcoin

Cryptocurrency is traded in crypto exchange forums, a largely unregulated field. PHOTO | SHUTTERSTOCK

What you need to know:

  • Cryptocurrencies have gained acceptance among a large proportion of the low-income population that was, previously, financially marginalised.
  • High number of people holding cryptos  can facilitate economic activity in African countries. People with no access to banks and banking services are able to pay for goods and services using cryptos.
  • Another issue of profound concern to African states is the potential threat to monetary sovereignty.