In his predictions for the African cryptocurrency market for 2022, Marios Ritz, Luno’s Managing Director in Africa, predicts Kenya will expand the adoption of cryptocurrencies. To back up this assertion, Reitz points to Kenya as the leader in peer-to-peer (P2P) volume for the second year in a row.
The booming crypto market in Kenya
Kenya is set to lead the world’s cryptocurrency market for the second year in a row, as predicted by Marius Ritz, Managing Director (GM) of cryptocurrency exchanges in Africa.
In justifying his choice of Kenya over the usual heavyweights, General Motors was quoted in a report as citing the booming cryptocurrency market in the East African country as well as the Kenyan people’s familiarity with digital payment solutions.
“The country’s cryptocurrency industry is booming with a rapid emergence of companies building blockchain-based solutions keeping in mind its young population, high heels of mobile connectivity and familiarity with digital payment solutions such as mobile money, and is well positioned to emerge as a leader in the cryptocurrency space in the world. East Africa Hub in 2022,” Reitz is quoted in the report explaining.
Bitcoin.com News previously reported a surge in peer-to-peer cryptocurrency volumes in Kenya which saw South Africa overthrown to become the country with the second highest P2P volumes in Africa.
Crypto as an alternative currency
Besides anticipating Kenya’s continued dominance of the P2P cryptocurrency market, Reitz was also quoted in the report as explaining the persistent difficulties faced by African companies wanting to access foreign currency from formal markets. He predicts that such African-based companies will have to “look to cryptocurrencies as an alternative way to handle cross-border transactions”.
However, Reitz was quoted in the same report as a warning that real progress in this area will also depend on progress on the regulatory front. He said:
Like most aspects of the crypto industry, progress in this field will depend heavily on the appropriate regulatory climate, and if this materializes, cryptocurrencies could emerge as a major asset for operations-intensive businesses across Africa.
Despite these and other potential hurdles, Ritz continues to reiterate his belief that Africa is in a better position to adopt cryptocurrencies than other continents.
What do you think of this story? Tell us what you think in the comments section below.
photo credits: Shutterstock, Pixabay, Wikicommons
disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services or companies. Bitcoin.com does not provide investment, tax, legal or accounting advice. Neither the Company nor the author shall be liable, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.