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Luno Plans to Expand Throughout Africa in New Initiative

Luno, a digital currency platform backed by Naspers and Rand, is gearing up for an aggressive surge into 18 additional African markets, according to the company’s South African manager Marius Reitz.


 

Luno, which is currently operating in parts of Africa, Europe, and SE Asia, is looking to obtain new banking partners throughout African in order to bolster its recent expansion. Although the nations being targeted weren’t specifically named in Reitz’s statement, he said that they have begun negotiations with various banking entities, as well as regulators.

Luno’s Johannesburg-based headquarters will expand from a small team of only 8 people, to around 40 employees.

Research into Markets

Luno released a poll over the weekend portraying that almost 70% of South Africans know about digital currencies. Despite the high number, only 29% claim they own crypto. Still, this figure is higher than the amount of crypto-owners in many other nations, which Reitz believes if encouraging considering that BTC is only 10 years old.

The markets of countries like SA, Malaysia, and others scored higher than many nations in Europe when it comes to mainstream familiarity of digital currencies. This may be a result of these regions’ desire for alternate banking options and an expanding market.

The poll was conducted with 1,000 people in various age demographics and income strata. Although volumes for trading decreased since the end of last year, interest in the assets haven’t wavered, said Reitz.

He said that investors were overcome by greed and behaved in an irrational manner due to the December surge, so the decline was anticipated. Despite this, the stabilization of the price ended up being a overall positive, even though its volatility continues to be higher than that of other currencies.  

Regardless, he strongly feels there has not be a slowing down of the currencies’ momentum.

Luno Push

Luno boasts over two million customers worldwide. South Africa continues to be its most crucial market when pertaining to trading amounts. The past few weeks has seen between 200-500 BTC traded every day. Last week, one BTC cost around R95,000. Last December, the value surpassed highs of R200,000.

South African regulators are due to post a paper on their position in regards to crypto in the upcoming months.

Many anticipate that exchanges are going to have to register with authorities such as the Financial Intelligence Center. This indicates that it will be a requirement for such platforms to comply with KYC checks and report transactions they deem to be suspicious.

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