African Digital Asset Framework (ADAF) Looks To Unify Blockchain Standards In Africa
On November 2, the African Digital Asset Framework officially kicked off its planned mandate to establish efforts to consolidate blockchain development standards across Africa and beyond. The project was launched under the Pan-African Organization with the goal of building regulated, cross-border blockchain standards that will link Africans at home and those living abroad.
With Africa becoming a significant hub for the growth of blockchain technology over the years, advocates are facing the challenge of making the use of crypto and other blockchain standards across all nations. Still, experts argue that Africa stands to gain from cryptocurrency and could leapfrog persistent troubles such as fragile currencies and limited financial infrastructure across countries
Digital assets are offering individuals a secure way to trade, and transfer crypto funds and other items across borders or on peer-to-peer networks. Such technology provides a unique opportunity for trade networks to establish commerce throughout the African continent and even the diaspora. ADAF exists to ensure that these opportunities for Pan-African trade come to reality by creating the necessary standards.
Co-founder of ADAF, Felix Macharia, explores the background of the project by adding,” ADAF was formed by organizations looking into the digital asset space to harmonize standards and regulation in the space.” He further explains how ADAF could complement the existing AU Single African Digital Market initiative by saying:
“If Africa is to benefit from the full potential of ledger technologies or agreements around free trade, then we must start drafting legislation, standards, and regulations that are in line with the new reality.”
Pan-African Development and ADAF
Despite the mandate centering on blockchain standards and regulation, ADAF hopes to spur their objectives to include secure collaboration and exchange between Africans. The initial press release reads,
“Standards will be tabled, discussed, amended and implemented on ADAF, with a view of encouraging digital ownership and exchange of value in digital economies between Africans and the diaspora.”
Macharia furthers states that ADAF would include a multi-lingual interface to allow individuals, policymakers, civil societies and entrepreneurs to weigh in on suggested solutions, actions or standards.
What This Means for Africa
The launch of ADAF presents the first open-source platform that would regulate transnational standards for distributed ledger technologies and digital assets in line with the development objectives of the Pan-African organization and the AU. That makes it a first effort to secure and build digital bridges for trade and commerce among African within and outside the continent. Hopefully, with the right initiatives, ADAF could create long-lasting crypto ecosystem partners across Africa and abroad.
ADAF is a framework developed under a UN charter in July to explore the potential change in the way token generation events are handled and regulated in Africa. The framework receives supports from organizations such as the Africa Union, the African Development Bank (AfDB) and its member states. Founding members organizations include Kotani Blockchain Incubator, Alba. One and Raise. ADAF itself is a platform supported by the ADAF Foundation, a registered trust in Nairobi Kenya.