Capital FM (Nairobi)
Will Cryptocurrencies Switch the Form of African Economies?
Nairobi &mdash, Cryptocurrency to most people and institutions ter Africa is a very big, and daunting word. Like all fresh technologies, the concept of digital currencies remains an abstract idea to a lotsbestemming of people, ushering ter switch and attempts to alter the status quo.
But the truth is switch happens, whether wij are ready or not. Those who take advantage of the switch wave, stand to benefit spil early adopters.
The chance to once again take charge of our own fate has bot introduced to us spil Africans. The question now is not about cryptocurrency, the question is what are wij going to do to corset the utter power of this chance?
Te the beginning of trade te Africa, wij traveled across grounds, and water to trade amongst ourselves. The farmers from the westelijk had cocoa, the nomads from the north had camels and other resources. Each measured the value of their goods or service and agreed on the exchange. “Trade by batter wasgoed born”
Then gold came, and other valuable resources so people commenced using this spil a form of trading, then wij had promissory notes, which were convertible based on the value of gold, or silver the issuer of the gold had ter their vault. All thesis evolved into what wij now call money today, and the unit of that money wij derive from either the dollar, euro, pound even yen at the minute.
Cryptocurrency has landed at our doorstep and it’s a scary thought. Let mij very first define cryptocurrency.
Cryptocurrency is defined spil a digital asset designed to work spil a medium of exchange, using cryptography to secure the transactions and to control the creation of extra units of the currency. Cryptocurrencies are classified spil a subset of digital currencies and are also classified spil a subset of alternative currencies and virtual currencies.
Bitcoin became the very first decentralised cryptocurrency te 2009. It is significant to note that Bitcoin is just one form of cryptocurrency that is available ter the world at the uur. There are overheen 100 cryptocurrencies (Litecoin, RXP, Clubcoin, Iota etc) that are trading for various values, and solving various problems all overheen the world at the uur.
Will Cryptocurrencies Switch the Form of African Economies?
Africa is missing out on the spel once more because wij are attempting to figure out how to keep what wij already have rather than think of how wij can adopt thesis fresh solutions, and also protect our consumers.
Blockchain is another significant concept that needs to be defined. Blockchain is a continuously growing list of records, called blocks, which are linked and secured using cryptography. Each block typically contains a hash pointer spil a listig to a previous block, a timestamp and transaction gegevens. By vormgeving, blockchains are inherently resistant to modification of the gegevens.
Te Africa, wij have numerous problems of trade and movement of money because of the borders that were created for us by the colonial master that still guides our capability to trade or stir money around today.
You will find that a loterijlot of our policies or laws date back to the 60″s, 70″s and 80″s. According to the Afrexim bankgebouw and other international institutions for us to grow spil a continent wij voorwaarde trade amongst ourselves consistently. Wij vereiste navigate the problems of movement of money and bring the unbanked people te our countries into an ecosystem that is effortless, and accessible instantly.
Blockchain technology helps us solve some of thesis problems by providing Clever Contracts, Security gegevens solution and Cryptocurrency, and much more.
Inflation is a gigantic problem te Africa and spil wij can see some of the countries ter this continent fight with managing the inflation rate on their fiat currencies i.e South Sudan which has an inflation rate of overheen 280%
Overheen the past 12 months, the African market has seen the emergence of more than 15 Bitcoin exchanges seeking to provide cheap and efficient trading services to African consumers. Some exchanges have expanded their services and have established an office ter Africa to serve the fresh market and observe the request of Bitcoin te several African countries.
Te East Africa, local innovators have introduced cryptocurrency systems to support cross-border transactions, spil exemplified by initiatives like BitPesa. Ter South Africa, cryptocurrencies are becoming particularly popular. Ter Nigeria, local traders and activists believe this fresh money presents an chance to democratise the economy. This is propelled by the fact that people ter Nigeria have bot failed by conventional money.
The Central Handelsbank of Nigeria, which oversees an inflation rate of 12-14%, recently announced that they cannot zekering Bitcoin. Their statement read: “Central canap cannot control or regulate bitcoin. Central handelsbank cannot control or regulate blockchain. Just the same way no one is going to control or regulate the Internet. Wij don’t own it.” This is very sensible and the onberispelijk and forward-looking treatment.
The intangible nature of digital currencies means that a government cannot physically eliminate the wealth of a citizen. This paradigm shift is a monumental step forward te the social contract, providing an extra layer of security to individuals.
For the very first time, open-minded early adopters and innovators te Africa can switch the spel, and start to create value for us te this continent.
Nurucoin(nurucoin.com) is one of those type of currencies that is aiming to ease the payment problems ter continental trade spil well spil bring the unbanked into an ecosystem of cross-border trading without the problems of the middleman.
African entrepreneurs voorwaarde embrace digital currencies, and find ways to make sure wij own our future rather than having someone else come into this continent once more to give us food.
Wij need more nurucoins, wij need more Sureremit and other types of African cryptocurrencies that will drive growth ter our economy. Not possessing or embracing cryptocurrency, and blockchain technology is so much riskier than sitting on the fence spil wij are presently doing spil a continent.
And ultimately, my greatest hope is that one of our wise entrepreneurs can also create an African chain with rules, and guidelines that meet our needs just like ethereum, stellar, Ripple or even Bitcoin blockchain.
Why can’t wij do this? I will leave you with that question for now.