Hootsuite and WeAreSocial Survey Reveals South Africa Actually Beat Thailand in Crypto Ownership
Hootsuite, a social media management company and Wearesocial, a global agency, recently conducted a survey together of top cryptocurrency ownership places in the world. The survey found that 10.7 percent of internet users in South Africa own cryptocurrency, with Thailand coming in second, and Indonesia third.
In addition, a Global Digital Report was released in 2019 and it found that several sub-Saharan African Countries also showed prominent bitcoin ownership. The survey was geared toward internet users from ages 16 to 64. Based on these surveys, it can be surmised that Africa has become a hotbed for the digital currency revolution.
People in those countries regularly use cryptocurrency for personal and financial needs, entrepreneurial ventures, and for the transfer of goods, services, and funds internationally and domestically. Many in the countries are also purchasing virtual currency for the purpose of investment.
According to peer-to-peer bitcoin exchange Paxful Inc., there has been an increase in the number of Africans purchasing and selling cryptocurrency. The average monthly transaction is usually around $64.5 million. Ray Youssef, the company’s chief executive added that users in Africa increased by 225 percent.
Monetary authorities in the country are also providing more oversight though. The authorities requested the public to submit their position on policy and regulatory proposals concerning digital assets. At the moment, these types of assets are not regulated. The goal is for regulatory agencies to provide investors and users with the protection that they need when making transactions.
The South African Reserve Bank has also taken a position. According to the bank, though the financial system in the country is highly regulated, cryptocurrencies are not yet regulated. The bank released a policy paper proposing that crypto not have legal tender status, which means that it would not be recognized as electronic money. The report also proposes the development of a regulatory framework by which crypto assets register for crypto-asset service providers. As the bank also stated,
“The phased approach, starting with the registration requirement, could lead to formal authorization and designation as a registered/licensed provider for crypto asset services operating in South Africa at a later stage.”