Brad Chillum
Africa and its banking sector have always had a lot of issues. Infrastructure for brick and mortar banks struggle due to the remote nature of the continent, but mass adoption of cryptocurrency could see many marginalized people empowered through digital currency.
Cryptocurrency is being seen in the developed world as the future of money, but it is locked in a fight with a well established and powerful financial sector. In the developing world, however, that sector is broken.
Traditional banking sectors have been implemented across the African continent in the same mould as in the developed European banks due to colonization. However, Africa’s infrastructure and inner workings do not make this system efficient in any way. Thus, banks have been forced upon Africans as a necessity, even though they are difficult to use and unsuited to the continent.
Fortunately, Africa’s Bitcoin and cryptocurrency market is slowly taking root. South Africa’s finance minister has said the country will take a balanced approach to the currency as many use it as a store of wealth.
The benefit of African exchanges and cryptocurrency businesses are being noted, especially when it comes to cross border trade and payment. Additionally, since the uptick in mobile phones, the Internet and telecommunication infrastructure is very advanced across the continents, far more advanced and accessible than banking.
The banking legacy in Africa is heavily flawed, so Africa is at a huge advantage when it comes to picking up a replacement technology, especially one as disruptive as cryptocurrencies. Many African adults do not have access to bank accounts and thus their economic freedom is severely hampered. Thankfully, cryptocurrency is there to help!
