Governments across Africa have had mixed reactions when it comes to cryptocurrency development and adoption. there is a lack of skills and infrastructure available to implement and manage the technology across the continent and a few regulatory frameworks in place to protect investors and businesses in Africa.
Governments want to protect local currencies and avoid losing capital in their country, yet the adoption of cryptos blockchain technology could help African economies; however, many obstacles need to be overcome before its potential can be realized.
Botswana is one African country that has been accepting Bitcoin and cryptocurrency for some time. In March 2017, the country’s central bank gave approval to several cryptocurrency exchanges to operate in the country.
While South Africa is one of the frontrunners in blockchain and crypto adoption in Africa, it has been hit by some regulatory challenges. The country’s tax authority requires citizens to pay tax on income made from crypto trading or selling.
Egypt ranks highly on blockchain technology and cryptocurrency adoption in Africa. The country’s government has supported the use of cryptocurrencies in various ways through its various public departments. For instance, Egypt’s Ministry of Military Production signed a partnership with the Russian cryptocurrency platform BitRent.
Kenya is one of the African countries that have been using blockchain technology for some time now.
Ghana is doing well with several cryptocurrency startups sprouting across the major regions. BTC wallet exchange providers like Mybitstore have been in charge of the driver’s seat offering over 40 forms of payment.
Some African nations are more open and supportive of Bitcoin and other digital currencies than others are.
Africa could benefit greatly from cryptocurrency adoption if governments can get on board.
This would be a leap as huge opportunities for growth if more investment capital is made available for local startups.