The tech leaders of Africa believe that the future of bitcoin in the continent is a bright one. Specifically they see the blockchain technology as an important player in the future of Africa’s economy. The appeal of bitcoins to Africans lies in the instability of local currencies and the lack of banking services. Indeed over 80% of all African resident lack access to a bank and the benefits of such a system. Blockchain technology offers a way for those who cannot rely on their governments to gain access to services local institutions cannot provide for them.

How The Bitcoin Community Sees The Future Of Bitcoins In Africa

The executive director of the Bitcoin Foundation believes the bitcoin and its alternatives will see an increase in adoption as more Africans use blockchains for payments, remittances, and other vital services. For someone living in a country suffering from hyperinflation the finite nature of bitcoins comes as a relief. There is a specific limit to how many bitcoins there will be in the world. Bitcoins are in many ways similar to gold and precious metals in this regard. Bitcoins aren’t backed by debt either which makes the sort of issues that have led to the current economic crises unlikely.

Impediments To The Growth Of The Currency

When the bitcoin currency was created in 2009 only those with a background in technical fields were able to understand it in any useful format. Although bitcoins have come a long way for the most part bitcoins aren’t used on consumer friendly platforms. The use of bitcoins within clandestine darknet markets has generated negative press around the currency and further served to stifle adoption. Despite this the currency is expected to see explosive growth on the African continent as global financial issues impact its residents.

The Failure Of The Current Situation

The current situation does not seem to serve Africans very well. Centralized financial systems are very fragile in many African countries and faith in these institutions is generally very low. Cross-border remittance fees are extremely high in Africa despite their frequency. Bitcoins aren’t necessarily a perfect, but they offer a protection against the monetary control and inflation plaguing the African economy. The recent troubles Nigeria and Zimbabwe have seen aren’t going to be solved by the local governments of those countries. It’s going to take private solutions to help Africans get back on their feet.

Bitcoins In The Bigger Picture

As internet access improves on the continent the importance of the blockchain technology format is only going to increase. The developing world stands to benefit more from this technology than most developed countries. The future of the bitcoin in Africa is certainly promising.