Africa Displays Most Attractive Funding Record Despite Lack of Regulations
Cryptocurrencies have not been regulated in many areas within Africa. The continent has still not seen its first fully regulated leading firms offering services related to digital assets despite evident research of the incredible effect of blockchain and crypto-technology on a global scale.
Given that Africa essentially leans on conventional financial institutes, it’s not unusual as to why the complete legalization of a cryptocurrency business has yet to happen. This is also possibly due to the fact that integrating digital coins throughout the continent may overtake everyday banks and render them obsolete.
Recent reports by Weetracker, a technology-based news outlet depicts a rise in financial assets for startups based on crypto-technology despite the lack of proper regulations within Africa and an ongoing market disaster. During Q1 2018, Weetracker’s published report saw financial technology startups recording the continent’s most attractive funding. Among the startups, one operating on solar panel trade, The Sun Exchange’s initial coin offering gained $25 million.
Another digital trading platform, Golix, which is located in Zimbabwe oversaw the initial coin offering worth $32M after the Reserve Bank of Zimbabwe lifted its previously enforced cryptocurrency trading ban. Henry Rotich, Secretary of Kenya’s treasury is currently the only person with power in the country to either regulate digital coins or not. SureRemit, an unregulated platform within Kenya saw gains worth $7 million during its project funding within the first six months of this year.
Four other neighboring countries have introduced BTC withdrawal machines. However, digital traders on an international scale have been suffering due to the current conditions of the crypto-market.