be_ixf;ym_202207 d_02; ct_50

Select Page

This “Crypto Continent” Is Home to Innovative Startups

This “Crypto Continent” Is Home to Innovative Startups

My wife got me a coffee subscription as a birthday gift last year.

Every month, ground coffee from a different country arrives in my mailbox.

And so far the best coffee has been from African countries such as Burundi, Kenya and Tanzania.

This shouldn’t be a surprise to any fellow coffee connoisseurs reading this.

After all, Africa is known for growing amazing coffee.

But did you know that the continent is also a hot spot for blockchain startups?

Swiss firm CV VC published its first African Blockchain Report on Monday.

The report calls Africa a “crypto continent.”

Read on to find out why the report says blockchain is at the forefront of African innovation…

Blockchain Tech Is Surging in Africa

The first quarter was huge for African blockchain startups.

These companies raised a total of $91 million.

To put that in perspective, over the same time period last year, those firms only raised about $5 million.

That’s 1,668% year-over-year growth!

Some of the hottest African blockchain companies include:

  • Valr (South Africa), one of Africa’s biggest crypto exchanges.
  • Aza Finance (Kenya), a foreign exchange and payments platform.
  • Jambo (Liberia), a software developer building the Web3 ecosystem.
  • DeFiHorse (Seychelles), which makes a metaverse game that has NFTs.
  • Wicrypt (Nigeria), which lets users share their Wi-Fi in exchange for cryptos.

And keep in mind that less than half of Africa’s 1.2 billion people have internet access.

But as you can see in the chart below, that number is growing rapidly.

Internet Users in Africa (in Millions): 2010 to 2025

Africa is known for growing amazing coffee. But did you know it’s also a hot spot for blockchain startups?

(Source: Statista.)

As internet usage continues to surge, so will the demand for blockchain-based services.

CV VC expects we’ll see African blockchain unicorns — startups valued at $1 billion or more — emerge within two to three years.

Africa’s Crypto Policies Will Do a 180

Government regulations have been a problem for African blockchain adoption.

Many countries, such as Ghana and Nigeria, have banned financial institutions from trading cryptos.

Other countries, such as Egypt, made it illegal for anyone to trade or own cryptos.

The chart below gives you a general idea of crypto legislation in Africa.

They’re fully legal in the countries in black. Meanwhile, the countries in purple have partially or fully banned cryptos.

The countries in gray are still uncertain about crypto regulations.

crypto legislation in Africa

(Source: CV VC.)

But Africa’s rules could quickly change.

Keep in mind that it has the youngest population of any continent.

Around 60% of Africans are under the age of 25.

Many of them are tech-savvy individuals with smartphones. And they’re eager for better access to financial services.

We saw this play out in the Central African Republic recently.

In April, it became the second country in the world to adopt bitcoin as legal tender.

I believe this is a sign of what to expect from African governments going forward.

The Key to Building Generational Wealth

Today, many Africans still don’t have a bank account or credit card.

So being able to exchange cash for cryptos is a game-changer for the African economy.

But it’s not the only continent that’s being disrupted by crypto.

The entire $100 trillion global financial industry is being overhauled right now.

And one crypto — the Next Gen Coin — is at the forefront of it all.

Ian King believes it will be 20 times bigger than bitcoin.

In his new presentation, Ian explains why this crypto is the key to building generational wealth.

You can watch it now by clicking here.

Regards,

text

Jay Goldberg

Assistant Managing Editor, Banyan Hill Publishing

Morning Movers

From open till noon Eastern time.

Apyx Medical Corp. (Nasdaq: APYX) develops, manufactures and sells medical devices in the cosmetic and surgical markets worldwide. The stock jumped 41% on the news that the stock received FDA clearance for its Renuvion Dermal Handpiece, a device for dermal resurfacing procedures.

 

Redbox Entertainment Inc. (Nasdaq: RDBX) operates a network of self-service kiosks where consumers can rent or purchase new-release DVDs and Blu-ray Discs. The stock is up 36% today as it continues its weeklong trend of being driven up by meme traders.

 

Modine Manufacturing Co. (NYSE: MOD) provides engineered heat transfer systems and heat transfer components for vehicles and buildings. The stock rose 28% after the company posted strong results for the fourth quarter that were driven by growth in its Building HVAC and Commercial Solutions segments.

 

Dollar Tree Inc. (Nasdaq: DLTR), the operator of the discount variety retail stores, is up 18% today. The stock climbed after the company delivered great first-quarter results and raised its guidance for 2022, thanks to shoppers heading to discount retailers with inflation at a four-decade high.

 

Vivid Seats Inc. (Nasdaq: SEAT) operates as an online secondary marketplace for tickets to various events. It is up 17% after the company authorized a $40 million share buyback program.

 

Build-A-Bear Workshop Inc. (NYSE: BBW) operates as a multichannel retailer of plush animal toys and related products. The stock is up 16% after the company reported record levels of total revenue and profitability in the first quarter.

 

Macy’s Inc. (NYSE: M), the department store operator, is up 15% this morning. The stock jumped when the company reported a great first quarter and raised its profit forecast as demand for its high-end goods persists despite the high inflation.

 

Movado Group Inc. (NYSE: MOV) designs, sources, markets and distributes watches worldwide. It is up 15% after the company exceeded expectations and reported first-quarter profits that doubled year-over-year.

 

Photronics Inc. (Nasdaq: PLAB) provides photomask products and services for integrated circuits and flat panel displays. The stock is up 14% after the company topped second-quarter estimates and provided better-than-expected third-quarter guidance.

 

Alibaba Group Holding Ltd. (NYSE: BABA), the Chinese e-commerce giant, is up 13% today. The move came after the company reported strong quarterly results that were driven by online spending in Chinese cities that are locked down for COVID-19.

 

Share This