CRYPTO STORY FROM AFRICA

The adoption of Cryptocurrency in the world in the past 2 years shows a big progress that digital Currency may likely dominate the financial Space. Crypto currencies could provide a significant benefit by overcoming the lack of social trust and by increasing the access to financial services (Nakamoto, 2008) as they can be considered as a medium to support the growth process in developing countries by increasing financial inclusion, providing a better traceability of funds and to help people to escape poverty.

The first advantage is that crypto currencies combine important properties to foster trust, such as accountability and transparency, which allows trust free interactions between counterparties. The underlying blockchain technology uses consensus mechanisms, hash functions and public and private key encryption to control transactions, which leads to the fact that the user does not have to trust the counterparty. However, the user must trust the network and the underlying blockchain. Thus, it is essential to secure the blockchain against fraud and attacks.

For central bank-issued currencies, trust is established by third parties like intermediaries, and in almost every digital transaction in a fiat currency, an agent is employed to oversee the exchange. Transactions conducted by intermediaries do not only take time, but they also result in a risk premium for the user due to higher transaction costs. Africa has played a major role in the Adoption of Cryptocurrency due to high cost of remittance coupled with numerous monetary restrictions which caused growth barriers. A crypto story from a Binance user who expressed he's "Freedom" from monetary restrictions in Nigeria says it all.

Binance happens to be the largest Cryptocurrency Exchanger in the world with the highest numbers of crypto users worldwide. To signup on Binance follow the link https://www.binancezh.pro/en/register?ref=43844349.