Crypto Africa Review: Nigeria Approves First Exchange, Bitcoin Trading Explodes In Egypt

Crypto Africa is growing, and 99Bitcoins is here to provide a weekly looking glass into the latest Africa crypto industry news this week: Nigeria has approved the first crypto exchange, while Bitcoin trading is exploding in Egypt – let’s take a look.

Each week in the crypto landscape has its fair share of news and developments. The past week has been no different, especially in Nigeria. 

Recent developments point to a possible thawing by regulators who, until their decisions this week, were said to be hellbent on breaking crypto and stopping adoption right on its tracks.

Nigeria’s SEC grants crypto licence to Quidax and Busha

this makes Crypto legal in these countries
this implies that

governments are changing their approach to crypto
more funds may be directed toward nigeria

— Vishal Rewari | SaaS Product Growth Guy (@VishalRewari) August 30, 2024

Nigeria Changes Stance? Issues License To First Crypto Exchange

The Nigerian Securities and Exchange Commission has issued its first operating license to an African crypto exchange.

The license to Quidax exchange is a significant moment for a country gradually acknowledging its crypto market, one of the most vibrant on the continent. 

Quidax reacted to the statement by calling it a “shot of adrenaline for the country’s crypto community.” A more stable and definitive regulatory regime would ultimately benefit Africa’s most populous nation.

Still, civil society organizations in Nigeria have also praised the country’s tax agency’s move to include crypto in the tax regime.

Civil society groups have argued that this move will boost confidence in the crypto sector while protecting consumers. 

African Crypto Startups Receiving Less Funding

Swiss crypto firm Crypto Valley has released a report showing a slight dip in funding for blockchain platforms on the continent. 

Africa’s blockchain startups fundraised haul fell from 1.6% to 1.3% of global VC funding into crypto. This figure shows that there is still an investment gap on the continent.

Venture capital firms can harness this growing market with the fastest-growing population globally for future investments. 

Binance Expands, Launches One-Click Buying Solution

BNB prices rose between August 5 and 23 before contracting to spot rates.

The rise in the first through the third week of August coincided with implementing the one-click buy solution in Africa. 

Binance, the world’s largest crypto exchange, launched this solution in multiple countries, including Uganda , Zambia, and Tanzania.

The one-click solution allows easy crypto trading on mobile from their fiat deposits. 

Interestingly, Binance is expanding its reach on the continent and could be one of the beneficiaries of the crypto explosion in the region. 

These Crypto News Headlines Also Made News

Besides Nigeria approving the first exchange and Binance offering more convenient solutions, these two events also dominated headlines:

• Egyptians are turning to crypto and Bitcoin trading as the primary source of income. The spike in trading activity is due to the slowdown in the country’s economy, which was made worse by a slow recovery from the global pandemic 2019. Egyptians are turning to online opportunities to cushion themselves from the challenging economic times and soaring unemployment, and Bitcoin trading is increasingly popular. Some investors also choose mining and earning a decent yield despite the recent Halving, which slashed revenue by half.
• The Central Bank of Ghana proposes new laws to regulate digital assets while fostering responsible growth. These laws will seek to regulate crypto exchanges. All licensed exchanges will be required to monitor all suspicious transactions while complying with the Travel Rule. To do this, the bank will collaborate with the country’s top regulator, the Securities and Exchange Commission (SEC), to draft a comprehensive framework.

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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.