KuCoin: Africa’s crypto-transactions rise fifteenfold in 2021

In 2021, the average number of monthly crypto transactions in Africa grew by 1,386.7%. Cointelegraph reports, citing KuCoin analysts.

The number of users in the same period rose by 2,467.2%. The average value of a single transaction declined, attributed to the use of digital assets for small payments.

Such substantial growth is explained by a low base. According to KuCoin CEO Johnny Lu, the continent’s share by value remains at 2.8%.

“Adoption will continue to grow at a geometric pace”, predicted the top executive.

The growth driver is cross-border payments, which account for almost nine out of ten crypto transactions. Digital assets, in many cases, enable near-instant transfers with fees below 0.01% of the amount.

Its popularity is driven by high inflation, limited access to banking services, rising smartphone penetration and a young population ready to embrace innovation. Regulatory and political headwinds may restrain it.

Financial problems drive people to seek new tools and technologies that can provide the economic freedom they lack, explained KuCoin CEO.

Earlier, former Twitter CEO Jack Dorsey said Africa would determine the future of Bitcoin.

A September 2021 showed that most Africans invest in digital assets for their children.

Earlier, Chainalysis calculated that the volume of crypto transactions in Africa from July 2020 to June 2021 grew 13-fold.

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