Adedapo Adesanya
The ongoing COVID-19 pandemic has affected many people around the world. Due to the restrictions brought upon because of the spread of the virus, many people globally had problems going on with their regular daily lives.
Among many regions and parts of the world that suffered due to the spread of the virus was Africa. Many of the countries in the region reported increasing unemployment numbers. In such an environment, many Africans found crypto investments and trading as a way out of the hardships.
Crypto allowed people in the region the opportunity to transact their money freely and within a few minutes without having to deal with huge transaction fees. While the regulatory framework around crypto in Africa is far from being established, people are still using cryptos very actively.
The interest of Africans in the crypto trading market is increasing every single day in the region and showing the highest adoption rate of cryptos around the world. In some countries of Africa, the regulatory agencies are very strict when it comes to crypto activities.
In fact, some of the governments have totally banned crypto activities, including trading and investing. But, such heavy regulations seem to not affect the popularity of cryptocurrencies in the region. In fact, the interest has increased even more after such strict regulations were adopted in some of the African countries.
Africa is using the cryptocurrency market for numerous different reasons, including for doing business, protecting their savings and funds, and also sending and receiving funds overseas.
Why is Crypto So Popular in Africa?
There are many reasons behind the huge popularity of the crypto trading market in Africa. One of the main reasons why so many people have decided to turn to cryptocurrencies in the region is that they have had enough bad experiences with fiat currencies and they want to protect their funds from the effects of inflation.
Another very important factor that supports the popularity of the crypto market is that it lets locals send and receive funds without having to pay a lot of commissions and fees. In the region, peer-to-peer transactions are especially popular.
People in Africa are using cryptocurrencies for all different reasons. There are some people who are using it as an asset to trade, while others use it for day-to-day activities, such as selling goods, saving up money, or sending money to others.
As the national currencies of numerous African countries continue to depreciate, the population of the region had to find a way out of the situation. For many, cryptocurrencies are one of the only opportunities to preserve their wealth, while also watching it grow.
Another reason why so many people are showing such interest in the crypto trading market in Africa is that the market has become very easy to access for people of all backgrounds. Today, thanks to the increasing number of crypto exchanges offered to African traders, getting started in the market is very simple.
All they need to do is to open an account with one of the available crypto exchanges in the region, deposit funds, and start buying and selling cryptocurrencies.
In fact, trading cryptos does not require as much attention from traders anymore. This lets traders in the region go on with their day while making profits. It is possible thanks to the crypto trading robots, which are able to analyze the market in a matter of minutes for traders and make profits for them.
For example, while using an automated bitcoin trading robot, you will be able to sit back and let the robot make profits for you. There are different types of robots available in the market, some of them are able to analyze the market and provide traders with trading signals.
On the other hand, there are trading bots that are able to actually trade cryptocurrencies for you and make profits. The majority of the crypto robots use API keys to connect with crypto exchanges, which is a safe way of automated trading.
Crypto Trading in Africa
The past few years have been very important for the further development of the crypto trading market in the region. Amid the worsening situation in terms of economy and local currencies, the popularity of cryptocurrencies further increased.
Another important factor for the increasing popularity of the crypto trading market in the region was the Covid-19 pandemic. The ongoing pandemic caused numerous jurisdictions in the region to adopt different types of restrictions to curb the spread of the virus.
Due to the restrictions, many people were left without jobs and lost their income. In this situation, the demand for the cryptocurrency trading market has increased dramatically.
However, although crypto trading is very popular in the region, the local regulations are far from being in favour of the crypto trading market. Many of the countries in the region have restricted trading cryptocurrencies altogether, while others have issued warnings against crypto trading.
But, even this did not get in the way of the further development of the market. Cryptocurrencies are becoming more and more popular in Africa every single day and the easier access to the market makes it even more attractive for local traders.
However, due to the local restrictions, people are mostly using P2P trading platforms to participate in the market. This made Africa one of the most active regions in terms of P2P crypto transactions.
