The continent of Africa has 54 countries, is the second largest and second most populated continent in the world, just behind Asia, and its economic growth is set to skyrocket in the coming year, and for years to come.
Data from the International Monetary Fund (IMF) has released information that Africa’s real GDP is expected this year to have an annual growth of 3.6 percent. By the year 2023, Africa’s economic expansion is set to accelerate to 4.1 percent.
So it seems inevitable that Africa is soon becoming the next hot spot for major crypto assets and investments, and let’s not forget exchanges.
This is due to the country being highly encouraging for digital currencies, as a leading economy, it is highly likely that South Africa will become a lead role in the digital transformation.
Inflation rates come into play
In regards to the African continent as a whole the inflation rate has been relatively contained and much lower than that of other developing economies around the world. However, in regards to some of the countries in Africa such as, Zimbabwe, South Sudan, Sudan, Angola and Liberia, these countries have shown high instability due to political and economic unrest. As a result of this these countries have experienced inflation rates in the double or even triple digits.
Where the inflation rate it too far fluctuated or surges dramatically, business owners are confronted with appropriately pricing their goods or services, which, drastically reduces buying power.
However, Bitcoin (BTC) and Cryptocurrencies alike are here to help! The United Nations has expressed that high inflation landscapes plus an improving economic situation has provided an ideal location to adopt crypto markets in Africa.
Already, the UN’s African Renewal publication has stated that many African citizens are already turning to Bitcoin as a tool to counter act the hyperinflation they are experiencing in their country.
The report went on to state that Botswana, South Africa, Kenya, Ghana and Zimbabwe are among the African countries who have shown the highest Bitcoin penetration rates, with Uganda gaining interest in the cryptocurrency space.
In the last 12 months alone, a search popularity of the term ‘Bitcoin’ in the Google search engine has shown that half of the top 10 results were African countries.
South African Reserve Bank on Crypto
Currently the South African Reserve Bank does not oversee, supervise or regulate crypto assets, however, it will continue to monitor the crypto sector.
In a Position Paper released in 2014 regarding their stance on crypto assets, they expressed,
“Increasing merchant acceptance, integrating existing conventional payment instruments with decentralised convertible virtual currency, and promoting the advantages inherent in such systems. Thus, there us potential for real growth of Bitcoin in its current operational environment.”
NGS Crypto expands to South Africa
In recent months NGS Group has expanded their service to now be available in South Africa.
This is a forward thinking move by the global company, especially with South Africa taking such an encouraging and strong stance on the benefits of digital currencies.
The company is looking forward to offering their services to the wider South African community, CEO and founder of NGS Group, including NGS Crypto, Mark Ten Caten commented,
“It is exciting times not only for NGS but for the people of South Africa. Now they (the people of South Africa) have access to a digital mining investment, where their returns are paid out to them daily in Bitcoin, that they can access 24/7. Bitcoin is the question, and we are providing them with the answer, hassle free.”
South Africa has laid down the foundations for the cryptocurrency industry to thrive, with Bitcoin being the answer for many consumers to deal with the high inflation that they live with on a day-to-day basis.
Times are changing for South Africa and NGS Crypto will be there as a safe digital currency mining investment every step of the way.