Marius Reitz, the general manager for Luno crypto exchange in Africa has predicted that Kenya will lead the African cryptocurrency market in 2022. With the country ranked second in P2P trading volumes for the second consecutive year, Kenya’s crypto adoption is definitely booming.
“The country’s crypto industry is booming with a rapidly emerging crop of companies building blockchain-based solutions and considering its young population, high heels of mobile connectivity and familiarity with digital payment solutions like mobile money, it’s firmly positioned to emerge as East Africa’s leading crypto hub in 2022”.Marius Reitz
With the continued difficulties faced by the African companies to access cross-border payments, such companies will be forced to look towards cryptocurrencies as an alternative means of handling cross-border transactions, according to Marius Reitz, the general manager (GM) for the African arm of Luno cryptocurrency exchange.
“With the severe lack of foreign currency reserves across Africa stopping companies from receiving international payments and remitting their profits, many businesses could look towards cryptocurrencies as an alternative means of handling cross-border transactions,” he added.
Kenya’s booming crypto market and the emergence of local firms building blockchain-based solutions coupled with high levels of mobile connectivity and familiarity with digital payment solutions, the country can definitely lead the way as Africa’s leading crypto hub this year. However, that would overall depend on the progress on the favorable regulatory environment:
“Similar to most aspects of the crypto industry, progress in this area will be heavily dependent on a favourable regulatory climate and should this materialise, cryptocurrencies could emerge as a major asset for companies with extensive operations throughout Africa.”
Despite the potential hurdles, Reitz reiterated his stance that Africa remains the most promising region for the adoption of cryptocurrencies.