BitcoinKE

[PRESS RELEASE]

Ezeebit, the FSCA-regulated stablecoin and cryptocurrency payment infrastructure company, has announced the close of a $2.05 million seed funding round. The capital will be used to accelerate product development and merchant adoption in South Africa, Kenya, and Nigeria and expand strategic partnerships with banks, PSPs, and telcos.

Ezeebit enables merchants to accept cryptocurrency payments with instant stablecoin settlement and next-business-day local fiat payouts. Since launching in 2023, the company has already processed more than 30,000 transactions totalling millions of dollars in gross merchandise value. Clients include iStore, Le Creuset, Scoin, Tintswalo Lodges, Amiri and Diesel.

Ezeebit’s funders include prominent industry names – all of whom bring a wealth of expertise in payments, financial infrastructure and growth strategies.

The round was led by:

African fintech investor, Raba Partnerships, focuses on entrepreneurs in emerging technology ecosystems, partnering with founders to build companies that generate outsized returns by solving real-world problems. Partnerships include many category-defining African software and internet companies. 

The Founder Collective is one of the world’s largest seed-stage investors. Its co-founder, David Frankel, has appeared on the Forbes Midas List four times and has backed more than ten billion-dollar startups including Uber, Airtable, The Trade Desk and Venmo. He is also known as the entrepreneur who built the major South African ISP, Internet Solutions.

Noteworthy angels:

Terry Angelos (Head of Fintech at VISA, for seven years)

Anton Katz (CEO of Talos, an institutional crypto exchange valued at~$2B)

Nadir Khamissa (Co-founder of Hello Group, a South African fintech and telecoms group that builds low‑cost financial and communication services for migrant and marginalised communities)

David De Picciotto (former GM of Expansion at global fintech, Revolut, for five years)

Chris Harmse (Co-founder and Chief Business Officer of BVNK, an enterprise stablecoin payments infrastructure company)

 

“African merchants are tied to slow, expensive payment rails, while consumers increasingly hold crypto for remittances and savings but lack a safe way to spend it,” explains Daniel Katz, CEO and Co-Founder of Ezeebit.

“We bridge this gap by connecting decentralised and traditional finance with a compliant stablecoin settlement layer. This funding empowers us to provide that vital infrastructure, allowing millions to participate fully in the global digital economy.” 

Ezeebit was built by three brothers, Daniel, David and Jonthan Katz, after they personally experienced the challenges of cross border payments in Africa. Between them, their backgrounds in engineering, finance, and computer science brings both technical depth and commercial experience to the business.

Bootstrapped since launch, external funding will now help support Ezeebit’s expansion strategy.

 

Why Ezeebit is Needed in South Africa

South Africa’s payment rails were never built for the everyday merchant: debit cards are widespread among consumers, but acceptance is low because interchange and acquiring fees remain stubbornly high relative to narrow retail margins. A U.S. merchant can shrug off 2–3% card fees; a South African merchant selling groceries, airtime, or household goods often operates on margins below that, meaning every swipe risks turning a sale into a loss. Layer on multi-day settlement delays and a volatile currency – where the rand can swing 10-20% in a quarter, and you get an ecosystem where neither merchants nor customers trust traditional rails.

Stablecoins solve two problems at once:

they provide a currency hedge for consumers and

promise instant, low-cost settlement for merchants.

Ezeebit is the connective tissue making those stablecoins actually spendable in stores.

 

Addressing Consumer Needs and Merchant Costs 

Africa is experiencing a convergence of structural tailwinds. These include lingering inflation in some countries fueling the demand for stablecoins, negligible credit card penetration (just 4% of adults in Sub-Saharan Africa hold credit cards), and mobile money increasing the comfort of hundreds of millions to pay digitally via QR codes. In addition, smartphone adoption will approach  90% by 2030, expanding the addressable market.

According to the 2025 Geography of Cryptocurrency Report, between July 2024 and June 2025, Sub-Saharan Africa received over $205 billion in on-chain value, an increase of 52% from the previous year, making it the third fastest growing region in the world, behind APAC and Latin America.

REPORT | Sub-Saharan Africa is the 3rd Fastest-Growing Region Globally in OnChain Value

While there is strong growth in traditional digital payment adoption, African merchants face immediate challenges including high fees (around 2–3% or more for card transactions), multi-day settlement (between three and five days), frequent declines, and limited cross-border options.

Ezeebit merchants enjoy fees of 1% or less amounting to a 68% saving compared to traditional card payments, along with instant stablecoin settlement and next-business-day local fiat payouts, eliminating volatility risk.

“Mobile money has already sensitised hundreds of millions of consumers to pay digitally via QR and account-to-account transfers. Stablecoins are the logical next step.

What’s more, at 8.78%, Sub-Saharan Africa remains the most expensive region in the world to receive remittances, making crypto rails a compelling alternative. And, once consumers have received crypto, they are eager to spend it on goods and services, creating a reinforcing growth loop,” Katz says.

 

David Frankel, Co-Founder and Managing Partner at Founder Collective says,

“What’s happening in Africa is extraordinary. Millions of people hold crypto but can’t spend it; merchants need faster, cheaper rails, but legacy systems keep them locked out.

Ezeebit is building the bridge.

This team has an uncommon gift for integrating modern financial technology with a grounded understanding of the dynamics shaping the markets they serve.”

 

Amanda Herson, General Partner at Founder Collective, added,

“What excites us most is how Ezeebit makes something complex feel simple. They’ve built real infrastructure, including wallet orchestration, instant hedging, and compliance tooling, that makes crypto payments work like tapping a card.

In markets where half the population is unbanked, Ezeebit isn’t just processing transactions, they’re opening access and building a trusted brand in the space.”

 

Compliance-First, Built for Scale

Regulatory ambiguity remains one of crypto’s biggest adoption hurdles. Ezeebit stands out as an FSCA-regulated, Africa-first stablecoin payment infrastructure, a compliant Financial Services Provider (FSP) as well as a Crypto Asset Service Provider (CASP).

The platform is Compliance by Design with built-in AML/KYC and Travel Rule readiness.

REGULATION | The Travel Rule Takes Effect in South Africa and Regulated Crypto Exchanges Are Complying

This allows merchants to accept Bitcoin, USDT, USDC, and ETH and more, from any wallet (custodial, DeFi, or foreign) through seamless omnichannel rails – including Android ePOS devices, e-commerce plugins, and APIs – without taking on regulatory volatility or risk.

Ezeebit is wallet agnostic. This benefits users by giving them the freedom to use their preferred wallets, while also reducing friction at the point of payment for a better user experience. This expands the platform’s accessibility and adoption opportunity across diverse crypto users.

 

George Rzepecki, Founder at Raba Partnership, commented:

“While Sub-Saharan Africa remains the most expensive region for money movement, Ezeebit is rebuilding the payment stack with compliant stablecoin and crypto rails. Regulatory clarity in key African markets creates a rare window to build this infrastructure at scale.”

 

__________

About Ezeebit

Ezeebit is a South African FSCA-regulated crypto payment infrastructure company (FSP & CASP No. 53664) enabling merchants to accept cryptocurrency and stablecoin payments with instant stablecoin settlement and local fiat payouts.

Operating since 2023, it was founded by three brothers – Daniel, Jonathan, and David Katz – who saw firsthand how traditional payment systems were failing African merchants, Ezeebit was built from the ground up to solve real merchant problems with compliance-first infrastructure. The company serves brick-and-mortar and online merchants across South Africa with expansion planned into the rest of Africa.

Learn more at ezeebit.com.

REGULATION | South Africa Has Now Approved 248 Crypto Providers Out of 420 Received So Far, Only 9 Applications Rejected

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_______________________________

Bitcoin retail inflows to Binance have collapsed to a record low in 2025 – an unmistakable signal that ‘small fish‘ or retail participants are increasingly bowing out of active spot-exchange trading, even as BTC price hits new bull-market highs.

 

What’s Happening – and Why It Matters

According to on-chain data from CryptoQuant, addresses holding ≤ 1 BTC (so-called ‘shrimp‘ or retail holders) are now depositing, on average, just ~ 400–411 BTC per day to Binance – the lowest level ever recorded. That’s a sharp drop from ~ 2,675 BTC/day (30-day SMA) in December 2022.

CryptoQuant contributor ‘Darkfost‘ calls this not a mere pullback but a full-blown structural decline: retail inflows have shrunk to a fraction of what they were even during 2022’s bear market.

[MILESTONE] Binance Flips Coinbase as the Exchange with the Largest Bitcoin Supply

Why Retail is Stepping Back – and Institutions (or Whales) Might be Filling the Void

According to BitKE’s September 2025 analysis, institutions (funds, corporate treasuries, and other large stakeholders) now hold roughly 12% of the entire BTC supply – up ~5% over the past year.

This growing concentration among large players shifts BTC’s narrative away from being a ‘retail-driven phenomenon‘ to more of an institutional reserve asset.

On-chain supply dynamics support this shift: as more BTC moves off exchanges into long-term custody, the liquidity available for immediate trading shrinks – potentially tightening supply over time and increasing upside for price, especially if demand remains strong.

BITCOIN | Institutions Now Hold ~12% of the Total Bitcoin Supply – a 5% Increase in Just One Year

How New Investment Vehicles – Namely ETFs – are Reshaping Retail Behavior

CryptoQuant and other analysts argue that the rise of spot BTC ETFs gives retail investors a simpler way to gain exposure than dealing with wallets, keys, and exchange custody. This ‘frictionless‘ access is likely drawing many away from direct exchange trading.

In other words: many small BTC holders may still believe in Bitcoin – but prefer ETFs over direct exchange deposits, reducing visible “retail inflows” even if demand remains.

 

What This Could Mean for the Market Going Forward

With retail liquidity fading and institutional accumulation growing, BTC’s supply on exchanges may continue to shrink – potentially creating a ‘supply shock,’ which could support further price appreciation if demand holds.

The changing investor mix (fewer small-holders, more long-term and large holders) might also lead to reduced volatility – but could increase correlation between macro/institutional events and price swings.

For markets like Africa (and places where crypto intersects with mobile money / financial inclusion), this shift might further entrench BTC as a store-of-value for long-term holders / institutions – rather than a speculative instrument for frequent retail traders.

 

Not Just a Dip, But a Structural Shift

The collapse of retail inflows to Binance in 2025 isn’t merely a ‘pause‘ or ‘dip‘ – it reflects a deeper structural realignment in how people hold and use Bitcoin. As institutions accumulate and newer investment vehicles (like ETFs) absorb retail demand, BTC may increasingly evolve into an institutional reserve asset, with fewer small holders actively trading on-chain.

MILESTONE | Binance Becomes the First Centralized Crypto Exchange to Surpass $100 Trillion in Trading Volume

 

 

 

Stay tuned to BitKE updates on Bitcoin adoption globally.

Join our WhatsApp channel here.

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___________________________________________

International credit-rating agency, Fitch Ratings, has cautioned that U.S. banks with ‘significant’ exposure to cryptocurrencies could see their credit ratings reassessed downward.

While integrating crypto operations can offer banks new revenue streams – such as increased fees, yields, and greater operational efficiency – Fitch warns these benefits come with serious risks.

According to Fitch, banks dealing heavily in crypto face ‘reputational, liquidity, operational and compliance’ risks.

 

Recall that in October 2025, a similar rating by S&P Global Ratings agency assigned a ‘B-‘ issuer credit rating to Strategy Inc. According to the agency:

“Our ratings on Strategy incorporate our view of the company’s narrow business focus, high bitcoin concentration, low U.S. dollar liquidity, and very weak risk-adjusted capital offset, only partially by Strategy’s strong access to capital markets and prudent management of its capital structure.

The company’s concentration in bitcoin is key to its strategy and will likely continue to weigh on our ratings. Strategy’s treasury reserve strategy gives indirect exposure to bitcoin to investors who can’t have or prefer to avoid direct exposure to bitcoin.”

PRESS RELEASE | The First Bitcoin Treasury Company Receives a B- Rating from a Major Credit Rating Agency

Fitch added that although stablecoin issuance, deposit tokenization, and blockchain-based services could potentially enhance payment and smart-contract solutions, banks must also,

manage the volatility of cryptocurrency values

the pseudonymous nature of digital asset owners, and

the security of digital assets against loss or theft

in order to realize the earnings nad franchise benefits.

The agency stressed that if these challenges are not properly addressed, the purported earnings and franchise benefits from crypto may not materialize – and banks, as a result of the ratings, could suffer from

Reduced investor confidence

Higher borrowing costs, and

Increased difficulties in financing and growth.

Fitch aslo highlighted the financial system risks that could come from an increased adoption of stablecoins, ‘particularly if it reaches a level sufficient to influence the Treasury market.’

EXPERT OPINION | Stablecoins Are Expanding the Definition of What We Call ‘Money’

A similar analysis on USD-linked stablecoins in particular was also published in September 2025 by Moody’s Ratings. According to the expert analysis, digital currency adoption poses risks to the financial sector. Banks may face deposit erosion if individuals shift savings from domestic bank deposits into stablecoins or crypto wallets.

 

The report noted:

“High penetration of USD-linked stablecoins in particular can weaken monetary transmission, especially where pricing and settlement increasingly occur outside the domestic currency. This creates cryptoization3 pressures analogous to unofficial dollarization, but with greater opacity and less regulatory visibility.

Liquidity stresses in major stablecoins, such as the TerraUSD collapse in 2022 and USDC’s temporary depeg in 2023, highlight the potential for abrupt wealth effects and payment frictions when exposures are significant in the real economy.”

EXPERT ANALYSIS | ‘In Emerging Markets, High Penetration of USD-Linked Stablecoins in Particular, Weaken Monetary Transmission,’ Warns Moody’s Ratings

Fitch’s warning comes even as regulatory developments in the U.S. seek to make the crypto industry safer. Still, the credit-rating agency says the risks inherent in digital asset exposure remain a major concern for the stability and long-term viability of banks engaging heavily in crypto.

Fitch Ratings is one of the ‘Big 3’ credit rating agencies in the United States alongise Moody’s and S&P Global Ratings.

Ratings from these three firms carry significant weight in the financial world and usually impact how businesses are perceived or how investors view such businesses from an economic viability perspective.

INTRODUCING | Big 3 Global Credit Rating Agency, S&P Global Ratings, Launches Stablecoin Stability Assessment

 

 

Stay tuned to BitKE updates on crypto adoption globally.

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

___________________________________________

International credit-rating agency, Fitch Ratings, has cautioned that U.S. banks with ‘significant’ exposure to cryptocurrencies could see their credit ratings reassessed downward.

While integrating crypto operations can offer banks new revenue streams – such as increased fees, yields, and greater operational efficiency – Fitch warns these benefits come with serious risks.

According to Fitch, banks dealing heavily in crypto face ‘reputational, liquidity, operational and compliance’ risks.

 

Recall that in October 2025, a similar rating by S&P Global Ratings agency assigned a ‘B-‘ issuer credit rating to Strategy Inc. According to the agency:

“Our ratings on Strategy incorporate our view of the company’s narrow business focus, high bitcoin concentration, low U.S. dollar liquidity, and very weak risk-adjusted capital offset, only partially by Strategy’s strong access to capital markets and prudent management of its capital structure.

The company’s concentration in bitcoin is key to its strategy and will likely continue to weigh on our ratings. Strategy’s treasury reserve strategy gives indirect exposure to bitcoin to investors who can’t have or prefer to avoid direct exposure to bitcoin.”

PRESS RELEASE | The First Bitcoin Treasury Company Receives a B- Rating from a Major Credit Rating Agency

Fitch added that although stablecoin issuance, deposit tokenization, and blockchain-based services could potentially enhance payment and smart-contract solutions, banks must also,

manage the volatility of cryptocurrency values

the pseudonymous nature of digital asset owners, and

the security of digital assets against loss or theft

in order to realize the earnings nad franchise benefits.

The agency stressed that if these challenges are not properly addressed, the purported earnings and franchise benefits from crypto may not materialize – and banks, as a result of the ratings, could suffer from

Reduced investor confidence

Higher borrowing costs, and

Increased difficulties in financing and growth.

Fitch aslo highlighted the financial system risks that could come from an increased adoption of stablecoins, ‘particularly if it reaches a level sufficient to influence the Treasury market.’

EXPERT OPINION | Stablecoins Are Expanding the Definition of What We Call ‘Money’

A similar analysis on USD-linked stablecoins in particular was also published in September 2025 by Moody’s Ratings. According to the expert analysis, digital currency adoption poses risks to the financial sector. Banks may face deposit erosion if individuals shift savings from domestic bank deposits into stablecoins or crypto wallets.

 

The report noted:

“High penetration of USD-linked stablecoins in particular can weaken monetary transmission, especially where pricing and settlement increasingly occur outside the domestic currency. This creates cryptoization3 pressures analogous to unofficial dollarization, but with greater opacity and less regulatory visibility.

Liquidity stresses in major stablecoins, such as the TerraUSD collapse in 2022 and USDC’s temporary depeg in 2023, highlight the potential for abrupt wealth effects and payment frictions when exposures are significant in the real economy.”

EXPERT ANALYSIS | ‘In Emerging Markets, High Penetration of USD-Linked Stablecoins in Particular, Weaken Monetary Transmission,’ Warns Moody’s Ratings

Fitch’s warning comes even as regulatory developments in the U.S. seek to make the crypto industry safer. Still, the credit-rating agency says the risks inherent in digital asset exposure remain a major concern for the stability and long-term viability of banks engaging heavily in crypto.

Fitch Ratings is one of the ‘Big 3’ credit rating agencies in the United States alongise Moody’s and S&P Global Ratings.

Ratings from these three firms carry significant weight in the financial world and usually impact how businesses are perceived or how investors view such businesses from an economic viability perspective.

INTRODUCING | Big 3 Global Credit Rating Agency, S&P Global Ratings, Launches Stablecoin Stability Assessment

 

 

Stay tuned to BitKE updates on crypto adoption globally.

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

___________________________________________

The Digital Ethiopia 2030 strategy is one of the most forward-leaning digital transformation blueprints on the continent – and notably, it integrates blockchain, distributed ledger technologies (DLT), and cryptocurrency-related policy directions across multiple sectors. Rather than treating blockchain as a niche technology, the strategy embeds it in national priorities ranging from mining governance to agriculture, logistics, finance, and digital trade.

 

Below is a breakdown of how the strategy addresses blockchain and crypto, and what it signals for Ethiopia’s digital future.

1.) Blockchain in National Digital Strategy (Industry 5.0)

The document identifies blockchain and distributed ledger technologies (DLT) as one of the core Industry 5.0 tools Ethiopia will prioritize to secure data, authenticate transactions, and underpin future digital systems.

The strategy explicitly lists:

Blockchain / DLT for secure, tamper-proof transactions

Use-cases tied to automation, real-time monitoring, and transparency.

This positions blockchain not as an experimental tool but a foundational component of Ethiopia’s long-term digital architecture.

2.) Blockchain for Mining Traceability (One of the Strongest Use-Cases)

The mining sector – a major source of export revenue – is slated for full-scale digital modernization.

 

Key blockchain mentions include:

• Blockchain-enabled traceability in mining

The strategy emphasizes blockchain for mineral provenance, compliance, and transparency:

Deploy blockchain-based traceability systems to ensure compliance and strengthen investor confidence.

Facilitate proof of origin, reduce fraud, and support export competitiveness.

 

• Rwanda case study included as a blueprint

The strategy highlights Rwanda’s pioneering role:

Blockchain traceability for tin

Minexx blockchain platform for artisanal miners

Over 50,000 tonnes of minerals tracked via blockchain systems These examples are directly recommended as models for Ethiopia.

 

Strategic impact:

Blockchain is framed as critical for:

Attracting responsible investment

Meeting global compliance and due-diligence requirements

Integrating artisanal miners into global, transparent supply chains

Kenya is aligning with the EU’s deforestation law, which means 1.2M farmers need to get on the map.

Dimitra is already making it happen.

This article explores how blockchain can bridge the traceability gap: https://t.co/SLcsodu54s#EUDR #Deforestation

— Dimitra Technology (@dimitratech) July 21, 2025

3.) Blockchain in Agriculture — Coffee Traceability and Export Premiums

Agriculture, especially coffee, receives a major blockchain application:

 

• Blockchain-based coffee traceability systems

The strategy calls for:

Blockchain for coffee certification and traceability, reinforcing Ethiopia’s premium global position.

Export-grade transparency from farmer to buyer

Support for AI-driven disease detection tied to blockchain records

This positions Ethiopian coffee for higher-value export markets where verifiable origin is critical.

Ethiopia Signs MOU with Cardano for a Blockchain-Powered Coffee Supply Chain and promises to train Blockchain developers in the country: https://t.co/McZ1nzkIdU pic.twitter.com/ct4v6WTola

— BitKE (@BitcoinKE) May 7, 2018

4.) Blockchain for Logistics, Supply Chain & Trade Corridors

Ethiopia’s logistics challenges are well known — high costs, inefficiency, and limited visibility. Digital Ethiopia 2030 introduces blockchain-driven reforms:

 

• Blockchain for supply chain traceability

The plan includes:

Blockchain-based platforms to record and timestamp transactions

Reducing disputes and enhancing cross-border transparency

Integration into multimodal transport and trade corridors

This brings Ethiopia closer to global standards in trade digitization, supporting AfCFTA digital trade protocols.

5.) Blockchain in Finance, Digital Trade & National Governance

While Ethiopia’s financial sector remains tightly regulated, the strategy introduces several frontier policy directions:

 

• Blockchain-based remittances

Listed under Finance use-cases within Industry 5.0:

Blockchain-based remittances and fraud detection as future applications.

 

• Blockchain and crypto regulatory sandboxes

The strategy calls for supervised innovation environments covering:

Blockchain

Stablecoins

DeFi

Cryptocurrencies

This is highly notable – Ethiopia explicitly acknowledges crypto and DeFi as innovation sectors requiring regulated sandboxes rather than outright prohibition.

 

• Development of a national Blockchain & DLT Strategy

A governance-level commitment to:

National blockchain policy

Cross-sector interoperability

Secure data structures

This indicates alignment with global digital governance frameworks.

REPORT | Stablecoin Transfers Account for 43% of All Crypto Transfers Across Africa, Ethiopia is Fastest-Growing Market, Says Chainalysis

6.) Crypto Mining for Energy Monetization (Rare for a National Strategy)

One of the most striking direct mentions of crypto:

 

• Leveraging crypto mining to monetize surplus renewable energy

The government proposes:

A regulated framework for crypto mining

Using cheap renewable energy to attract miners

Redirecting part of mining revenue to rural electrification and grid expansion

This aligns Ethiopia with other energy-rich nations exploring industrial-scale crypto mining as part of energy strategy.

LIST | A Look At 10 Key Milestones Behind Ethiopia’s Rise As a Bitcoin Mining Haven in 2024

In this article, we explore the key milestones that propelled #Ethiopia into the ranks of global Bitcoin mining powerhouseshttps://t.co/EtQcpEBTBr @KalKassa @qrb_labs @WestDataGroup pic.twitter.com/tCxj4Wye4f

— BitKE (@BitcoinKE) January 3, 2025

7.) Blockchain in Coffee, Supply Chains, Health & Beyond

Additional mentions include:

Blockchain for border clearance in logistics and trade corridors.

Potential DLT-enabled healthcare data systems (inferred from Industry 5.0 stack).

Blockchain in educational credential verification (through digital ID + interoperable systems).

Blockchain within creative industries for metadata and rights management.

Cardano is pioneering change in Africa, collaborating with governments to address real-world issues.

5 million students will receive digital IDs on the #Cardano platform to combat fraudulent certifications.

Read more: https://t.co/IaKZk1birE pic.twitter.com/qgIUZ08eeV

— EMURGO Africa (@EmurgoAfrica) October 10, 2023

Overall Assessment: Ethiopia Is Quietly Building a Web3-Ready Digital State

The Digital Ethiopia 2030 strategy doesn’t treat blockchain or crypto as buzzwords — instead, it integrates them into high-value, high-impact national systems that genuinely benefit from decentralization and verifiable transparency.

Most advanced areas:

Mining governance (strongest and most immediate use-case)

Agricultural exports (coffee)

Trade & logistics compliance

Financial inclusion & remittances

Energy monetization via regulated crypto mining

Most forward-looking policy commitments:

Regulatory sandboxes for stablecoins, DeFi, crypto

Development of a national Blockchain & DLT Strategy

Ethiopia is moving toward a hybrid digital governance model where blockchain underpins trust, traceability, and cross-border interoperability. Unlike other states, the strategy does not reject crypto — it aims to regulate, integrate, and strategically leverage it.

USE CASE | GoldBod, the Official Ghana Gold Board, Set to Deploy Blockchain System to ‘Trace Every Gram of Gold by 2026’

 

 

Want to keep updated on crypto developments in Africa?

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

_______________________________

The Digital Ethiopia 2030 strategy is one of the most forward-leaning digital transformation blueprints on the continent – and notably, it integrates blockchain, distributed ledger technologies (DLT), and cryptocurrency-related policy directions across multiple sectors. Rather than treating blockchain as a niche technology, the strategy embeds it in national priorities ranging from mining governance to agriculture, logistics, finance, and digital trade.

 

Below is a breakdown of how the strategy addresses blockchain and crypto, and what it signals for Ethiopia’s digital future.

1.) Blockchain in National Digital Strategy (Industry 5.0)

The document identifies blockchain and distributed ledger technologies (DLT) as one of the core Industry 5.0 tools Ethiopia will prioritize to secure data, authenticate transactions, and underpin future digital systems.

The strategy explicitly lists:

Blockchain / DLT for secure, tamper-proof transactions

Use-cases tied to automation, real-time monitoring, and transparency.

This positions blockchain not as an experimental tool but a foundational component of Ethiopia’s long-term digital architecture.

2.) Blockchain for Mining Traceability (One of the Strongest Use-Cases)

The mining sector – a major source of export revenue – is slated for full-scale digital modernization.

 

Key blockchain mentions include:

• Blockchain-enabled traceability in mining

The strategy emphasizes blockchain for mineral provenance, compliance, and transparency:

Deploy blockchain-based traceability systems to ensure compliance and strengthen investor confidence.

Facilitate proof of origin, reduce fraud, and support export competitiveness.

 

• Rwanda case study included as a blueprint

The strategy highlights Rwanda’s pioneering role:

Blockchain traceability for tin

Minexx blockchain platform for artisanal miners

Over 50,000 tonnes of minerals tracked via blockchain systems These examples are directly recommended as models for Ethiopia.

 

Strategic impact:

Blockchain is framed as critical for:

Attracting responsible investment

Meeting global compliance and due-diligence requirements

Integrating artisanal miners into global, transparent supply chains

Kenya is aligning with the EU’s deforestation law, which means 1.2M farmers need to get on the map.

Dimitra is already making it happen.

This article explores how blockchain can bridge the traceability gap: https://t.co/SLcsodu54s#EUDR #Deforestation

— Dimitra Technology (@dimitratech) July 21, 2025

3.) Blockchain in Agriculture — Coffee Traceability and Export Premiums

Agriculture, especially coffee, receives a major blockchain application:

 

• Blockchain-based coffee traceability systems

The strategy calls for:

Blockchain for coffee certification and traceability, reinforcing Ethiopia’s premium global position.

Export-grade transparency from farmer to buyer

Support for AI-driven disease detection tied to blockchain records

This positions Ethiopian coffee for higher-value export markets where verifiable origin is critical.

Ethiopia Signs MOU with Cardano for a Blockchain-Powered Coffee Supply Chain and promises to train Blockchain developers in the country: https://t.co/McZ1nzkIdU pic.twitter.com/ct4v6WTola

— BitKE (@BitcoinKE) May 7, 2018

4.) Blockchain for Logistics, Supply Chain & Trade Corridors

Ethiopia’s logistics challenges are well known — high costs, inefficiency, and limited visibility. Digital Ethiopia 2030 introduces blockchain-driven reforms:

 

• Blockchain for supply chain traceability

The plan includes:

Blockchain-based platforms to record and timestamp transactions

Reducing disputes and enhancing cross-border transparency

Integration into multimodal transport and trade corridors

This brings Ethiopia closer to global standards in trade digitization, supporting AfCFTA digital trade protocols.

5.) Blockchain in Finance, Digital Trade & National Governance

While Ethiopia’s financial sector remains tightly regulated, the strategy introduces several frontier policy directions:

 

• Blockchain-based remittances

Listed under Finance use-cases within Industry 5.0:

Blockchain-based remittances and fraud detection as future applications.

 

• Blockchain and crypto regulatory sandboxes

The strategy calls for supervised innovation environments covering:

Blockchain

Stablecoins

DeFi

Cryptocurrencies

This is highly notable – Ethiopia explicitly acknowledges crypto and DeFi as innovation sectors requiring regulated sandboxes rather than outright prohibition.

 

• Development of a national Blockchain & DLT Strategy

A governance-level commitment to:

National blockchain policy

Cross-sector interoperability

Secure data structures

This indicates alignment with global digital governance frameworks.

REPORT | Stablecoin Transfers Account for 43% of All Crypto Transfers Across Africa, Ethiopia is Fastest-Growing Market, Says Chainalysis

6.) Crypto Mining for Energy Monetization (Rare for a National Strategy)

One of the most striking direct mentions of crypto:

 

• Leveraging crypto mining to monetize surplus renewable energy

The government proposes:

A regulated framework for crypto mining

Using cheap renewable energy to attract miners

Redirecting part of mining revenue to rural electrification and grid expansion

This aligns Ethiopia with other energy-rich nations exploring industrial-scale crypto mining as part of energy strategy.

LIST | A Look At 10 Key Milestones Behind Ethiopia’s Rise As a Bitcoin Mining Haven in 2024

In this article, we explore the key milestones that propelled #Ethiopia into the ranks of global Bitcoin mining powerhouseshttps://t.co/EtQcpEBTBr @KalKassa @qrb_labs @WestDataGroup pic.twitter.com/tCxj4Wye4f

— BitKE (@BitcoinKE) January 3, 2025

7.) Blockchain in Coffee, Supply Chains, Health & Beyond

Additional mentions include:

Blockchain for border clearance in logistics and trade corridors.

Potential DLT-enabled healthcare data systems (inferred from Industry 5.0 stack).

Blockchain in educational credential verification (through digital ID + interoperable systems).

Blockchain within creative industries for metadata and rights management.

Cardano is pioneering change in Africa, collaborating with governments to address real-world issues.

5 million students will receive digital IDs on the #Cardano platform to combat fraudulent certifications.

Read more: https://t.co/IaKZk1birE pic.twitter.com/qgIUZ08eeV

— EMURGO Africa (@EmurgoAfrica) October 10, 2023

Overall Assessment: Ethiopia Is Quietly Building a Web3-Ready Digital State

The Digital Ethiopia 2030 strategy doesn’t treat blockchain or crypto as buzzwords — instead, it integrates them into high-value, high-impact national systems that genuinely benefit from decentralization and verifiable transparency.

Most advanced areas:

Mining governance (strongest and most immediate use-case)

Agricultural exports (coffee)

Trade & logistics compliance

Financial inclusion & remittances

Energy monetization via regulated crypto mining

Most forward-looking policy commitments:

Regulatory sandboxes for stablecoins, DeFi, crypto

Development of a national Blockchain & DLT Strategy

Ethiopia is moving toward a hybrid digital governance model where blockchain underpins trust, traceability, and cross-border interoperability. Unlike other states, the strategy does not reject crypto — it aims to regulate, integrate, and strategically leverage it.

USE CASE | GoldBod, the Official Ghana Gold Board, Set to Deploy Blockchain System to ‘Trace Every Gram of Gold by 2026’

 

 

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Polymarket and Kalshi just posted their strongest month ever – even as Solana’s memecoin share sank to cycle-lows. Let’s walk through how liquidity flows appear to have rotated, and whether this marks a deeper shift in where crypto capital hunts for edge.

EXPLAINER: How to Make Bets and Earn $USDC Using the PolyMarket Prediction Market

Memecoins Fade

Last month, trading volume in Solana memecoins clocked in at $13.9 billion – the lowest monthly total since February 2024, before the memecoin mania took off.

To put it in context: memecoin volume on Solana reached a peak of roughly $169.5 billion in January 2025.

Since then, activity gradually decreased each month in 2025, from

$34.4 billion in July

$29.2 billion in August

$19.7 billion in September

$16.5 billion in October; down to

$13.9 billion in November – a ~60 % drop from July 2025.

Notably, this wasn’t a sudden crash triggered by a hack or a major ‘rug-pull.’ Rather, the decline appears gradual – suggesting many traders deliberately moved capital elsewhere, instead of panic-exiting.

STATISTICS | Pump.Fun MemeCoins Face Mass Extinction – Less Than 1% Survive

Prediction Markets Surge

As memecoin activity waned, prediction-market platforms on Solana saw a steep rise. In November 2025, Polymarket recorded $3.7 billion in volume – its highest ever – while Kalshi posted $4.25 billion, its second strongest month. Combined, that’s nearly $8 billion.

That $8 billion represents 57% of Solana’s memecoin volume, and the gap is closing fast.

Compare that to earlier this year: as recently as August 2025, prediction markets represented under 10% of memecoin volume. By October 2025, that number was 45%, and now it’s crossed into majority territory.

FUNDING | Leading Web3 Decentralized Platform, PolyMarket, Reportedly Raising $200 Million at $1 Billion Valuation

From Hype to Information — a Structural Shift?

Some in the crypto world, including Vitalik Buterin, frame prediction markets as “info finance” – a kind of infrastructure that aims to aggregate dispersed knowledge into probabilistic forecasts, rather than rely on hype or momentum.

In theory, that makes prediction markets more ‘useful‘ than memecoins: whereas memecoins often reflect no fundamental value and rely on social media hype or the next token drop, prediction markets allow traders to profit by leveraging superior information or analysis – whether about elections, macro-economic events, or other real-world outcomes.

There’s a narrative appeal: instead of ‘flipping the next meme token and hoping it moons,‘ traders can now bet on probabilities, potentially generating useful signals – or at least framing their activity as contributing to ‘price discovery‘ rather than just speculating.

PARTNERSHIP | Social Media Platform, X, Partners with Decentralized Prediction Markets, PolyMarket, to Help Audiences Contextualize Information

What Remains Uncertain

But this doesn’t automatically mean prediction markets are a perfect alternative to memecoins. For one thing, while volumes have grown, liquidity depth is still shallow compared with institutional markets — meaning large trades can still sway odds and probabilities.

Moreover, prediction markets remain vulnerable to manipulation: when contracts don’t attract broad participation, a single large actor can distort the outcome.

Finally, memecoins haven’t gone away. The $13.9 billion in monthly volume remains substantial – still dwarfing many other DeFi protocols on Solana.

What we’re seeing on Solana appears to be a deliberate rotation: liquidity and trader interest are moving away from the hype-driven, high-volatility memecoin casino toward prediction markets – where ‘information advantage‘ and event-based betting currently offer more perceived value.

Whether this is a structural evolution – one that will deepen with time and perhaps rival traditional financial markets – remains uncertain. But for now: the trenches have moved, and roughly $8 billion of capital followed.

Understanding DeFi Prediction Markets and Why they are Always Right

 

 

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The Director Investigations Bureau at the Directorate of Criminal Investigations (DCI Kenya), Mr. Abdalla Komesha, has admitted to a rise in cryptocurrency-related crimes.

Speaking during the closing ceremony of the Blockchain and Cryptocurrencies Crime Investigations Course held at the National Criminal Investigations Academy (NCIA), the Director said the partnership and support in facilitating this invaluable training would ‘equip the detectives with advanced forensic techniques to develop practical strategies for combating cross-border illicit transactions.’

The five-day intensive programme brought together investigators from over ten African countries explored the technical intricacies of digital currencies.

During his address, NCIA Commandant Mr. Sospeter Munyi praised the participants for their dedication and active involvement in the course. He encouraged them to implement their new knowledge and skills to improve the efficiency and quality of their investigative work.

The ceremony was also graced by:

The Programme Manager from the EU, Mr. Louis Dey

European Union Action Against Crime (EU-ACT) Organised Crime key expert Col. Andrea Antonazzo

Eastern Africa Police Chiefs Cooperation (EAPCCO) Regional Specialised Officer, Mr. Dennis Wanyama

Deputy Commandant NCIA, Mr. Stephen Chacha, and

Instructors, led by Mr. Tom Nyabuti.

BitKE has consistently reported on DCI Kenya’s investigations related to cryptocurrency crime and fraud throughout 2025 including public cautions, arrests, and prosecutions.

In June 2025, DCI Kenya highlighted the growing role of crypto in money laundering within the country.

REGULATION | ‘Proceeds of Crime Are Laundered and Concealed Within Real Estate or Cryptocurrency in Kenya,’ Says Kenyan Director of Criminal Investigations (DCI)

In July 2025, a major Kenyan bank lost ~$4 million after a group of contractors manipulated the institution’s IT systems to siphon funds through unauthorized wallet creation and crypto channels.

CRYPTO CRIME | Kenyan Bank Loses Over KES 500 Million (~$4 Million) in Sophisticated IT System Breach Involving USDT Stablecoin Laundering

In July 2025, a major crypto scam, dubbed CBEX, was uncovered which saw thousands of Kenyans and Nigerians swindled of ~$847 million.

REGULATION | EFCC Nigeria Releases List of 8 Nigerians and Kenyans Alleged to Be Behind CBEX Fraud

In October 2025, INTERPOL and AFRIPOL arrested 83 individuals across 6 African countries, including Kenya, during a crack down on crypto-based terrorism financing worth ~$430,000 with a major exchange implicated.

REGULATION | INTERPOL and AFRIPOL Crack Down on Crypto-Based Terrorism Financing Worth ~$430,000 in Kenya

In November 2025, a businessman in Kenya was been arrested by the Kenya Anti-Terrorism Police Unit (ATPU) on allegations of financing terrorism through cryptocurrencies.

CRYPTO CRIME | Kenyan Businessman Arrested Over Terror Financing Through Cryptocurrencies

In November 2025, a prominent Kenyan lawyer was also arrested over ‘terrorism financing with significant funds involving cryptocurrencies.’

CRYPTO CRIME | Prominent Kenyan Lawyer Reportedly Arrested Over Terrrorism Financing with Significant Funds Involving Cryptocurrencies

As a result of these activities, the FATF and the European Union (EU) grey-listed Kenya as a high-risk destination for money laundering.

The recently-passed Kenya VASP Act 2025 is expected to help cut down on crypto-related crimes through prosecutions and law enforcement.

The DCI Kenya training is likely part of that overall agenda.

REGULATION | ‘We Have Not Licensed Any VASPs Under the [VASP] Act to Operate In or From Kenya,’ Says Central Bank and Capital Markets Regulator

 

 

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Western Union plans to roll out a ‘stable card’ aimed at consumers in high-inflation economies – part of a broader stablecoin and digital-asset strategy.

Speaking at the UBS Global Technology and AI conference, CFO Matthew Cagwin said this initiative builds on earlier announcements that Western Union is expanding beyond traditional cross-border payments into a multi-pillar digital-asset roadmap.

PRESS RELEASE | Western Union Unveils ‘Beyond’ Strategy to Grow Revenue By 20%+ in 3 Years Partly Driven by its Stablecoin Strategy

Cagwin pointed to Argentina – where inflation recently reached 250–300% – noting that remittances can lose nearly half their value in a month. He asked readers to “imagine a world where your family in the U.S is sending you $500 home, but by the time you spend it in the next month, it’s only worth $300.”

He added that the stable card is envisioned as an ‘increment’ to Western Union’s existing prepaid card in the U.S., but with value retention benefits for users in inflation-hit countries.

#STABLECOINS | Western Union Already Implementing Stablecoin Settlement Processes in #Africa, Says CEO

“What we see is stablecoin really as an opportunity, not as a threat.” – CEO, @WesternUnion https://t.co/Pzkdlsvkbx pic.twitter.com/X7yM8hI21a

— BitKE (@BitcoinKE) July 22, 2025

Western Union to Issue its Own Coin

As part of the same strategy, Western Union also intends to issue its own coin. The firm believes its extensive distribution network – spanning some 200 countries – gives it a natural advantage, especially in emerging markets where remittances contribute significantly to GDP.

PRESS RELEASE | Western Union Announces USDPT Stablecoin on Solana and Digital Asset Network (https://t.co/Czd5LmgiXX)https://t.co/8BAWKDcA4H #Solana

— Kobocoin (@kobocoindev) October 29, 2025

Cagwin stressed that launching its own stablecoin would enable Western Union to control economics, compliance and distribution, creating a scalable market for its coin beyond current remittance corridors.

In addition, the company plans to roll out a new ‘Digital Asset Network’ (DAN), built in partnership with four on-ramp and off-ramp providers – slated to go live in the first half of 2025. This network is intended to support conversion between cash and stablecoins, lowering dependency on traditional cross-border banking rails.

According to the company, the upcoming stablecoin settlement system will be built on the Solana blockchain. The stablecoin – dubbed USDPT – along with the Digital Asset Network developed in partnership with Anchorage Digital Bank, is expected to launch in the first half of 2026, and to be distributed through partner exchanges.

The @WesternUnion Digital Asset Network will include 3rd party wallets from:@alfredlatam – Latin America@rain – Middle East & North #Africa (MENA)@yellowcard_app – Sub-Saharan #Africa (SSA)@crossmint – Enterprise wallet & commercehttps://t.co/AtdqiH0hBw pic.twitter.com/V8tOkrJ6Mt

— BitKE (@BitcoinKE) November 8, 2025

To support its broader ambitions, Western Union has also filed a trademark application for ‘WUUSD’ – signaling potential plans for a full spectrum of crypto services, including a wallet, trading features, and stablecoin-payment processing.

REGULATION | Western Union Signals Strong Move to Offer Crypto Services

For users in high-inflation or currency-volatile environments, a stable-value card tied to a U.S.-dollar–backed stablecoin could offer tangible protection against rapid currency devaluation. This shift – from cash-heavy remittances to on-chain, dollar-pegged instruments – underlines a broader push to modernize cross-border flows.

For Western Union, bringing together its global physical distribution network and blockchain rails could bridge traditional remittance infrastructure and crypto-native systems – potentially delivering faster, more stable, and more cost-efficient money movement, especially to emerging markets where stable value and remittance utility matter most.

‘Institutions Don’t Want to Live on Competitors’ Rails,’ Says Chief Innovation Officer, SWIFT

 

 

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Data from crypto analysis platform, Glassnode, indicates that the current price of Bitcoin (BTC) has slipped below the 0.75 quantile since mid-November leaving over a quarter of the entire circulating supply at unrealized losses.

Data from Artemis, another digital assets metrics platform, shows that Bitcoin Treasury companies are:

27% down over the last one month

41% down over the last 3 months

The problem however goes deeper than a simple price bounce.

The Artemis DAT heat map shows one thing clearly: the past 3 months have been brutal.

• BTC DATs: –40.9% • ETH DATs: –22.5% • SOL DATs: –47.2% • HYPE DATs: –54.6% https://t.co/LTELgdZu1u pic.twitter.com/tWYwLDkNqi

— Artemis (@artemis) December 3, 2025

How We Got Here

Recall that Bitcoin Treasury was pioneered by MicroStrategy using a simple strategy – Purchasing stock in companies holding Bitcoin traded at a massive premium to the underlying Net Asset Value, which was Bitcoin. This allowed the firms to issue expensive equity to buy cheaper coins thereby increasing Bitcoin per share that relied on one crucial input: a persistent equity premium.

However, with Bitcoin drawdown at roughly:

13% over the last month

16% over the last 3 months

the mechanism seems to have broken down as the premium to Net Asset Value has largely evaporated with the sector largely trading near or below the market value adjusted for debt.

Once the premium shifts to a discount, issuing shares to acquire Bitcoin stops adding value and instead destroys it.

To shift this sector from distressed proxies back into a premium asset class, a mere price recovery isn’t enough. The market needs structural fixes spanning pricing, liquidity, and governance.

BITCOIN | Institutions Now Hold ~12% of the Total Bitcoin Supply – a 5% Increase in Just One Year

While early adopters sit on profit, the newer Bitcoin Treasury companies are underwater with some, like Metaplanet and Nakamoto (NAKA), managing significant market-to-market losses.

This imposes a considerable narrative penalty.

Treasuries priced meaningfully above cost basis are perceived as capital compounders guided by strong allocators, while those below are viewed as distressed holding structures. The model’s built-in leverage—spanning price, issuance, and financial leverage—serves to magnify these effects.

As an example, Nakamoto is down:

38% in one month

83% in 3 months

Its a similar situation with Metaplanet as the figure below illustrates.

Herein lies the challenge:

A renewed expansion in premiums requires more than a Bitcoin rebound; the asset must maintain levels significantly above the $107,000 high-water marks. Only with such stability can balance sheets strengthen sufficiently to convince investors that “Bitcoin per share” reflects accretive value rather than a managed liability.

 

The Era of ‘Print Stock, Buy BTC’ is Over

In early 2025, blind accumulation was rewarded. Now, however, it demands survivability with MicroStrategy’s recent move to raise ~$1.44 in cash reserves a good indicator of this dynamic. The idea is to raise funding to cover dividend commitments while delaying forced selling. Strategy’s raise is expected to cover at least 12 months of dividend and interest commitments and a significant evolution of the Treasury model where just pure BTC accumulation is not enough. Instead, liquidity management is becoming more of a strategic priority.

BITCOIN | ~35 Firms Hold Over 1,000 BTC as Corporate Bitcoin Investments Surge in Q3 2025

Risk concentration within the Bitcon Treasury sector is also a concern. With MicroStrategy controlling over 80% of all Bitcoin help within the sector and ~72% of the Bitcoin Treasury category’s total market capitalization, concerns such as the pending MSCI consultation looking at whether to restrict such companies from major indices could make the entire basket disappear when such funds are stuck to trading at a discount permanently to the underlying BTC holdings.

According to a Galaxy analysis, as long as crypto markets remain suppressed, Treasury companies will likely trade at flat or negative premiums where:

BTC per share, the core KPI that determines whether issuance is accretive or dilutive, will stagnate or decline.

DAT equities will offer a levered downside, not upside, versus spot BTC

 

“Investors should not expect the early 2025 “equity beta > BTC beta” regime to reappear without a full reset in risk appetite and BTC making new highs. ” – Galaxy

 

This drawdown is a balance-sheet stress test. Firms with the least flexibility include those that:

Issued the most stock at the highest premium;

Bought the most BTC at cycle-top prices; and

Layered on debt against those holdings

Galaxy notes:

“Prolonged discounts plus large unrealized losses are likely to create real solvency and governance pressure. Expect potential restructurings and stronger players (including Strategy) to be well-positioned to acquire weaker ones at a discount or to simply outlast them.   

In other words, treasury companies are about to enter a Darwinian phase.

In principle, the treasury company trade isn’t dead. If and when BTC eventually prints new all-time highs, some subset of these companies will likely regain modest equity premiums and reopen the issuance flywheel. But the bar appears to be higher now. Boards and management teams are going to be judged on how they handled this first real stress test. Did they over-issue into the top? Did they preserve optionality? How did they handle the downturn? Are their shareholders willing to get back on for another ride?  

The key shift is that these companies now look less like simply “leveraged upside on BTC” plays and more like path-dependent instruments whose payoffs depend heavily on issuance strategy and entry timing.”

PRESS RELEASE | The First Bitcoin Treasury Company Receives a B- Rating from a Major Credit Rating Agency

 

 

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The IMF has issued a new report that evaluates the rapid growth of the global stable-coin market and the state of regulations worldwide – calling attention to structural vulnerabilities and the need for strong, coordinated oversight.

In its “Understanding Stablecoins” 2025 report, the IMF analysed regulatory frameworks from various jurisdictions, including the US, UK, Japan and the EU. The organisation noted that while emerging regulation can help mitigate some macro-financial risks tied to stablecoins, the overall global landscape remains highly fragmented. This fragmentation – in policy design, issuance frameworks and regulatory treatment – could undermine efforts to contain risks.

 

The IMF warned that the proliferation of stablecoins issued across various blockchains and exchanges raises serious interoperability concerns. These disparities could translate into cross-border inefficiencies and regulatory arbitrage, especially as different countries adopt different rules for stable-coin issuance and use.

STABLECOINS | Circulation of Stablecoins Doubled in the Past 18 Months, Says McKinsey

What Stablecoins are Backed By – and Where the Risk Lies

According to the report, the two largest stablecoins by market cap – Tether (USDT) and USD Coin (USDC) – are “backed mostly” by liquid assets such as:

Short-term U.S Treasuries

Reverse-repo collateralised with U.S. Treasuries, and

Bank deposits.

In particular, roughly 40% of USDC’s reserves and about 75% of USDT’s reserves are held in short-term U.S. Treasuries.

The report also notes that USDT holds a portion of reserves in cryptocurrencies (including a small share in Bitcoin).

Yet, despite these reserve-backing mechanisms, the IMF cautions the market remains vulnerable: if confidence erodes and a rush to redeem stablecoins occurs, the scale of the reserves may pose systemic risks – especially if multiple redemptions happen simultaneously.

STATISTICS | On-Chain Stablecoins Reach 2.3% of Global Payment Flows

Macro-Financial and Monetary Sovereignty Risks

The IMF elaborates a number of long-term macro-economic risks if stablecoins – particularly those pegged to major currencies – become deeply integrated into global payments and storage of value.

Key concerns include:

Currency substitution / dollarization: Widespread adoption of dollar-pegged stable-coins could weaken local currencies – especially in economies with fragile macroeconomic fundamentals. This might undermine the ability of central banks to conduct effective monetary policy.

Disintermediation of banking and credit disruption: As people shift savings and payments towards stable-coins, traditional bank deposit bases may shrink, reducing the banks’ capacity to lend – potentially stalling credit growth.

Risks to fiscal revenues and seigniorage: If stable-coin use supplants sovereign currencies, governments could lose out on seigniorage revenues (the profit made by issuing currency). This could have ripple effects on public finances.

Moreover, the IMF argues that tokenization – where assets, money, and payments can all be handled on a programmable ledger – could radically reshape global finance. While this promises efficiency and broader access, it also heightens the risks of financial fragility, capital flow volatility, exchange-rate instability, and a concentration of financial power in the hands of a few large private issuers.

OPINION | Africa’s Capital Market Opportunity: Is Tokenization the Secret Key to Unlock Africa’s Economic Potential? – By CEO, Nairobi Securities Exchange (NSE)

Regional Patterns in Stablecoin Usage

The IMF paper highlights the considerable variation in stablecoin usage regionally.

In absolute terms, the Asia and Pacific region leads with the highest volume of stablecoin activity, followed by North America. However, when measured relative to GDP, Africa and the Middle East, as well as Latin America and the Caribbean, stand out. In terms of net flows, stablecoins flow overwhelmingly from North America to other regions, where they could be satisfying local demand for stablecoins as a store of value, in addition to being used for cross-border payments.

There is also substantial heterogeneity across payment corridors, with EMDEs featuring more prominently in stablecoin cross-border flows than traditional flows. Stablecoin cross-border payment flows (about $1.5 trillion) represent only a small fraction of the global cross-border traditional and crypto payment market, which approached a value of about one quadrillion dollars in 2024.

Stablecoin flows between emerging market and developing economies account for the largest share by value. Flows from emerging market and developing economies to advanced economies, and vice versa, also represent a significant portion of total stablecoin cross-border activity.

This pattern contrasts with traditional cross-border payments routed through systems such as SWIFT, where within-advanced economy cross-border flows play a clear dominant role.

REPORT | Stablecoins Now Account for 43% of All Sub-Saharan Africa Crypto Transactions, Says Quidax

Why Regulation Alone Isn’t Enough — Need for Strong Institutions and Coordination

The IMF emphasizes that stabilizing stablecoins requires more than just regulatory patches. According to the report, robust macro-economic policies, credible institutions, and a strong regulatory framework must work together as the first line of defense. Only then can stablecoins’ risks – from asset backing, reserve liquidity, cross-border flows, and monetary substitution – be effectively managed.

The IMF therefore calls for comprehensive, globally-coordinated regulation:

Consistent legal treatment of crypto activities

Prudential and conduct rules

Anti-money-laundering and combating-financing-of-terrorism (AML/CFT) compliance

for all entities issuing, trading, custodying or transferring crypto assets.

For “systemic stable-coin arrangements,” additional oversight – similar to the regulation of financial market infrastructures – is needed.

G-7 Countries Agree to Step Up Efforts for Tighter Crypto Regulations Set by FSB and FATF Travel Rule

What This Means for Emerging Markets (and African Economies)

Several factors could affect the future demand for stablecoins. These include the attractiveness of the underlying currency vis-à-vis the local currency, new use cases, enabling legal and regulatory frameworks, and ease of access. The demand for stablecoins is closely linked to the demand for their currency of denomination. As the vast majority of stablecoins are currently denominated in US dollars, their growth will likely hinge on the continued dominance of the dollar in trade, foreign exchange reserves, international loans, international debt, foreign exchange turnover, and global payments.

New use cases can also support higher demand for stablecoins. Currently, stablecoins are used as on- and offramps from unbacked crypto assets and to some degree for cross-border payments. Going forward, these use cases could grow. Moreover, new use cases could emerge.

First, stablecoins could be used to pay for tokenized financial assets. Their wider adoption in this case depends on the growth of the tokenized sector.

Second, they could expand into domestic retail payments for goods and services.

The latter would likely require deeper integration with existing payment rails and broader merchant acceptance, which may find greater traction in countries with underdeveloped payment systems, where they could offer a lower-cost and more convenient alternative payment method.

To the extent that stablecoins provide easier access to foreign currency for firms and individuals in emerging markets with weak currencies and high inflation, the demand for these instruments could increase further.

For countries with weak financial systems, volatile currencies or unstable monetary policy – conditions common across many African economies – the growing footprint of stablecoins could pose a dual-edged sword. On one hand, stablecoins offer cheaper cross-border payments, faster remittances and potential financial inclusion. On the other hand, if unmanaged, stablecoin adoption could destabilise local currencies, undermine sovereign monetary control, erode bank deposit bases, and ultimately weaken financial stability.

This makes the IMF’s call for strong domestic institutions, transparent regulation and international coordination especially urgent.

EXPERT ANALYSIS | ‘In Emerging Markets, High Penetration of USD-Linked Stablecoins in Particular Weaken Monetary Transmission,’ Warns Moody’s Ratings

 

 

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Intensifying crypto regulation may increase compliance costs for crypto-asset service providers (CASPs), but it is highly unlikely to eliminate the cost advantage of cryptocurrency-based financial products — and that resilience comes down to the structural efficiencies of crypto, say leading voices in South Africa’s industry.

According to Luno’s country manager for South Africa (Christo de Wit) and VALR co-founder and CEO (Farzam Ehsani), crypto-based services remain structurally more efficient than traditional-finance equivalents even under regulatory pressure.

 

“Blockchains and crypto assets represent a paradigm shift in how finance works,” said Ehsani.

“Crypto services such as payments are a fraction of the cost of their traditional-finance counterparts and will be increasingly adopted by the world as time goes on.”

 

Even with added compliance overhead, Ehsani said crypto-asset services deliver a “step-change” in the efficiency of financial services – particularly in terms of speed and cost when it comes to global payments.

De Wit echoed the sentiment, emphasizing that crypto products are “structurally designed” to outperform traditional finance.

REALITY CHECK | Why African Customers Are Moving Away From Traditional Banking

Self-Custody: a Core Differentiator

Beyond cost and speed, crypto has another major advantage: the ability for individuals and institutions to self-custody their digital assets. Ehsani emphasized this as a key divergence from traditional finance.

“With crypto assets, everyone has the option to self-custody, eliminating the need to trust intermediaries,” he said, noting this is “not possible in traditional finance, where every asset … must by definition be held by a trusted intermediary.” 

 

He added that while intermediaries such as VALR will continue to provide services to those who prefer them, the mere existence of self-custody alters fundamentally how people hold and control value.

[EXPLAINER GUIDE] How to Keep Your Self Custodial Wallet Safe

Regulation – Including the Travel Rule – Likely Won’t Kill Self-Custody

Asked whether evolving regulation – meant to comply with global requirements on anti-money laundering (AML) and counter-terrorism financing (CTF) – might eliminate the self-custody option, De Wit acknowledged that “friction” is already increasing, pointing out that South Africa implemented its version of the Travel Rule from 30 April 2025. Under that rule, financial institutions involved in virtual-asset transactions must provide originator and beneficiary information with each transaction.

REGULATION | The Travel Rule Takes Effect in South Africa and Regulated Crypto Exchanges Are Complying

That regulatory burden, he argued, doesn’t necessarily force users back onto traditional finance rails. Instead, the added procedures are “necessary friction … to adhere to global AML/CTF processes and protect consumers.”

He said crypto’s structural efficiencies hold firm even under compliance overhead, and that blockchain – with appropriate reporting – remains more efficient than legacy systems like cross-border transfers via SWIFT.

 

A Coming Fusion — Where Banking and Crypto Converge

Looking ahead, Ehsani predicted a future where the line between traditional banking and crypto services fades: blockchain infrastructure will be integrated into financial institutions, and crypto offerings will become ubiquitous.

He noted that VALR has already signed agreements with a major African money-transfer business – Mukuru (which serves over 17 million customers) – as well as two of South Africa’s largest banks, with more partnerships expected.

PRESS RELEASE | VALR and Mukuru Partner to Advance USDC Stablecoin Savings in Africa

That, he argued, signals that “there won’t be any financial institution without a crypto offering in the next few years,” and that VALR is positioning itself as the infrastructure provider powering those offerings.

Meanwhile, the fact that Discovery Bank recently announced a first-of-its-kind partnership with Luno – integrating crypto services directly into its mobile banking app – reinforces the idea that crypto and traditional finance are already beginning to merge.

Ehsani compared this to banks’ initial scepticism toward the internet: just as most banks eventually embraced online services, he believes the same will happen with crypto.

“It’s just a matter of time before traditional finance and crypto finance merge to become the future of finance.”

EXPERT OPINION | Stablecoins Are Expanding the Definition of What We Call ‘Money’

 

 

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NALA, currently one of the most successful fintechs has disclosed that it is building infrastructure for on-and-offramp for stablecoins and fiat conversions for its customers.

While announcing record revenue for its payment platform, Rafiki, NALA CEO, Benjamin Fernandes, said the company will soon enable its customers to settle in local currency or stablecoins – all through one API.

 

“I believe infra for on and off ramp for stablecoins and fiat will become 10x more valuable for licensed providers like Rafiki.com in the market over the next 5 years.” – CEO, NALA

Rafiki is a payment platform by NALA which enhances its remittance services across Africa. The platform powers NALA’s consumer remittance app and also global businesses looking to make direct payments into recipient’s mobile money wallets or bank accounts across Africa.

Founded in 2018, NALA has seen significant growth over the years demonstrating demand for its service offering.

By 2019, NALA had gained significant traction, attracting over 250, 000 users within its first year.

In 2020, the startup raised $1 million and introduced features such as bill payments, airtime purchases, and ability to send money internationally. By the end of that year, NALA’s user base had grown to over 500,000 and the app was processing millions of dollars in transactions monthly.

In 2022, NALA transitioned into a digital banking platform by introducing functionalities such as savings accounts, microloans, and investment options. In the same year, it raised $10 million to expand across different African countries.

As of 2024, NALA boars over 1 million active users. At the same time, the fintech raised $40 million in Series A following 10x revenue growth.

FUNDING | Tanzanian Fintech, Nala, Raises $40 Million in Series A Following 10x Revenue Growth and ~500K User Growth

Over recent years, NALA has acquired multiple licenses across different African jurisdictions and partnered with licensed and regulated financial institutions, further expanding its reach and impact.

PARTNERSHIP | Pesalink, NALA, and Equity Bank Partner to Transform Cross-Border Payments into Kenya

The latest announcement by NALA points to similar trend across Africa where more established fintechs are looking at integrating and offering stablecoin solutions in order to reduce costs to consumers while also remaining competitive.

Yellow Card, Flutterwave, Onafriq: Why Africa’s Fintech Sector is Turning to Stablecoins

While announcing its collaboration with Polygoin as an infrastructure partner for stablecoin payments across Africa, Flutterwave, one of the largest and leading non-bank fintechs in Africa, expressed similar confidence in stablecoins.

“Stablecoin adoption will drive more flows into Africa and has the potential to 10x the volumes we are currently doing.” – Olugbenga Agboola, CEO, Flutterwave

FINTECH AFRICA | ‘Stablecoin Adoption Has the Potential to 10x the Volumes We’re Currently Doing,’ Says CEO, Flutterwave

 

The African fintech said:

“For Flutterwave, the next phase of fintech in Africa will be to enable businesses and consumers to transact in stablecoins seamlessly. This vision aims to reduce friction for entrepreneurs, power cross-border payments, and secure remittances for a new generation.”

 

As regulations across Africa get more defined, we can expect to see more licensed and regulated fintechs integrate and launch stablecoin and digital asset offerings as the next phase in their developments.

 

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[PRESS RELEASE]

RedotPay, a global stablecoin-based payment fintech, today announced a partnership with Ripple, a financial technology company that offers crypto solutions for businesses to extend its stablecoin payment capabilities. In tandem, RedotPay is launching its “Send Crypto, Receive NGN” feature and the expansion of multi-market payouts through its integration with Ripple’s cross-border payment solution, Ripple Payments.

 

The new feature streamlines conversion from digital assets to NGN for verified users with local bank accounts, enabling faster and more affordable payouts.

“Delivering near‑instant, cost‑effective NGN payouts is a significant milestone,” said Michael Gao, CEO and Co‑Founder of RedotPay.

“RedotPay is building stablecoin‑powered payments that make digital assets as easy to use as local currency, where users can send XRP or stablecoins securely and receive NGN within minutes.

The integration of Ripple Payments will expand RedotPay’s global reach and better serve the evolving needs of our users – we will remain focused on making digital finance accessible, secure, and efficient for everyone.”

STABLECOINS | Ripple Expands $RLUSD Stablecoin to Africa via Key Partnerships

Addressing Global Remittance Pain Points

Currently, global remittances remain costly and slow, with average fees of 6.49% and settlement times often taking one to five business days.

Amidst this inefficiency, the demand for digital alternatives has accelerated. Chainalysis reported that Asia Pacific was the fastest-growing region globally for on-chain stablecoin activity, driven primarily by adoption in trading and remittances.

REPORT | Nigeria Ranked 2nd Globally in DeFi and the Only African Country in Top 20 by Chainalysis 2024 Crypto Adoption Index

RedotPay is capitalizing on this shift. By integrating Ripple Payments, RedotPay’s new “Send Crypto, Receive NGN” feature tackles these pain points head-on. It leverages enterprise-grade blockchain speed and reliable payout infrastructure to offer transparent pricing and near-instant payout, redefining cross-border payments for consumers seeking lower-cost, faster alternatives.

With payouts typically settled within minutes, the feature currently supports a wide range of cryptocurrencies including:

USDC

USDT

BTC

ETH

SOL

TON

S

TRX

XRP

BNB.

In the future, Ripple’s RLUSD will also be supported. The feature is available to all verified RedotPay users with a local bank account. In a typical transaction, a user sends XRP or another supported asset from RedotPay, and NGN will be sent to the designated local bank account.

 

Jack Cullinane, Head of Commercial, Asia Pacific at Ripple commented,

“Our partnership with RedotPay demonstrates the real-world utility of our licensed payments solution in solving the immense friction of global cross-border payments.

Ripple Payments makes sending money across borders faster, more reliable and affordable for consumers and businesses alike.”

PARTNERSHIP | South African Fintech, Onafriq (Formerly MFS Africa), to Leverage Ripple Blockchain Across Africa via 3 Fintech Partners

Advancing Multi‑Market Access

Designed to meet the needs of young, tech‑savvy workers, such as digital nomads, freelancers, entrepreneurs; as well as those who are working abroad and need to send cross‑border funds from overseas, “Send Crypto, Receive NGN” builds on RedotPay’s multi‑market payout expansions, including “Send Crypto, Receive BRL” and “Send Crypto, Receive MXN.”

This launch reaffirms RedotPay’s commitment to continue extending stablecoin‑powered payouts to more emerging markets.

PARTNERSHIP | Ecobank Partners with Ripple-Powered Payments Platform, Nium, to Unlock Real-Time Payments Across 35 African Markets

_____________

About RedotPay

RedotPay is a global stablecoin-based payment fintech that integrates blockchain solutions with traditional banking and finance infrastructures. Our intuitive platform empowers millions around the world to spend and send digital assets, ensuring faster, more accessible and inclusive financial services. RedotPay advances financial inclusion for the unbanked and supports crypto enthusiasts, driving global adoption of secure and flexible stablecoin-powered financial solutions to bring crypto to real life.

 

About Ripple

Ripple is a financial technology company that offers crypto solutions for businesses. Ripple Payments uses blockchain to make cross-border payments faster, more transparent, and widely accessible.

PRESS RELEASE | Ripple Brings Institutional Digital Asset Custody to South Africa in Partnership with One of Africa’s Leading Financial Institutions

 

 

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Sony Bank – the online-lending arm of Sony Group – is reportedly preparing to launch a U.S. dollar–pegged stablecoin in 2026, with the aim of enabling payments across the Sony ecosystem in the United States.

The stablecoin is expected to be used for purchases such as PlayStation games, subscriptions, and anime content. Because U.S. customers make up roughly 30 % of Sony Group’s external sales, the move is seen as targeting a major market.

To facilitate this initiative, Sony Bank applied in October 2025 for a U.S. banking license to establish a subsidiary dedicated to stablecoin issuance. At the same time, it has partnered with a U.S. stablecoin issuer, Bastion, whose infrastructure Sony plans to leverage for issuing and redeeming the token.

OPINION | Why We Will See 1,000 Stablecoins (and Why Most Will Fail)

Notably, Sony’s venture arm also joined Bastion’s $14.6 million funding round, which was led by Coinbase Ventures.

Major Music Rights Platform, KENDRIX, Taps Sony’s Blockchain, Soneium, For Copyright Protection

This stablecoin effort is part of a broader push by Sony into Web3. In June 2025, Sony Bank established a dedicated Web3-focused subsidiary named BlockBloom, reflecting its ambition to build an ecosystem that merges fans, artists, NFTs, and both fiat and digital currencies — combining digital-asset services (wallets, NFT custody, exchanges) with traditional financial infrastructure.

PRESS RELEASE | Sony’s Layer 2, Soneium, Launches Incubation Program for Builders to Create Mini Apps with $250K Prize Pool

By issuing its own dollar-pegged token, Sony aims to reduce reliance on traditional payment methods such as credit cards — thereby lowering transaction fees paid to card networks — and to offer a smoother payment experience.

As of the time of reporting, Sony Bank has not publicly responded to requests for comment about the stablecoin launch.

FUNDING | Leading African Web3 Gaming Publisher, Carry1st, Announces Strategic Investment from Sony Innovation Fund

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[PRESS RELEASE]

The Directorate of Criminal Investigations (DCI) officially launched a groundbreaking Blockchain and Cryptocurrency Investigation Training Module, a landmark initiative designed to bolster Kenya’s and the region’s capacity to counter sophisticated digital crimes in an increasingly technology-driven era.

The opening ceremony was graced by Ms. Rosemary Kuraru, Director of the National Forensic Laboratory, who represented the DCI Director. In her remarks, she reaffirmed the Directorate’s resolute commitment to staying ahead of criminal networks that exploit digital platforms, virtual currencies, and decentralised technologies for money laundering, fraud, terrorism financing, and other cyber-enabled offences.

CRYPTO CRIME | Kenyan Businessman Arrested Over Terror Financing Through Cryptocurrencies

This cutting-edge training programme has been fully funded and technically supported by the European Union (EU), underscoring the enduring strategic partnership between Kenya and the EU in advancing regional and global security.

CRYPTO CRIME | Kenyan Investigative Body, DCI Kenya, Applauds Regional Collaborative Efforts Towards Fighting Cross-border Digital Crime

Through this collaboration, DCI officers and key stakeholders will acquire specialised expertise in tracing and analysing blockchain transactions, investigating cryptocurrency-related crimes, understanding digital wallets and broader crypto ecosystems, and applying international best practices in digital forensics and cross-border cooperation.

REGULATION | #INTERPOL and #AFRIPOL Crack Down on Crypto-Based Terrorism Financing Worth ~$430,000 in Kenya

The suspects used a virtual asset service provider with funds used for recruitment and radicalization being traced to a crypto trading platformhttps://t.co/tJXiRvRcEa pic.twitter.com/nqPh7FPQYQ

— BitKE (@BitcoinKE) October 23, 2025

Ms. Kuraru emphasised that rapid technological advancement must be matched by equally innovative and proactive law enforcement responses. She observed that criminals are increasingly migrating to digital spaces where anonymity and borderless transactions present unprecedented challenges. She warmly commended the European Union for its sustained investment in knowledge transfer, capacity building, and operational excellence.

CRYPTO CRIME | Kenyan Bank Loses Over KES 500 Million (~$4 Million) in Sophisticated IT System Breach Involving USDT Stablecoin Laundering – BitKE https://t.co/JMujAfpqKs

— Dr.Philippe Vynckier, CISSP – Influencer (@PVynckier) July 11, 2025

This initiative represents a major leap forward in Kenya’s readiness to detect, investigate, and disrupt digital crimes, solidifying the country’s standing as a regional leader in modern policing and cybersecurity.

REGULATION | Binance Helped Identify Over 160 Persons of Interest During ‘Operation Catalyst’ by INTERPOL, Says Head of Compliance, Binance Africa

 

 

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Leading American crypto exchange, Coinbase, disclosed a notable increase in law‑enforcement data requests in its latest transparency report covering the period from October 2024 to September 2025.

Surge in Global Data Requests

Coinbase received 12,716 formal law‑enforcement requests in the 12‑month period — a 19% increase compared with the prior year.

Significantly, 53% of those requests originated from outside the United States – marking a rising trend of international scrutiny.

Nonetheless, a handful of countries still dominate absolute numbers: the U.S, Germany, the U.K, France, Spain and Australia accounted for around 80% of the total request volume.

According to Coinbase, most requests stemmed from criminal‑enforcement matters – including subpoenas, court orders and search warrants.

The exchange noted that while some users may worry about data privacy, it is legally obligated to comply with valid requests under applicable laws.

The fact that over half of global requests come from outside the U.S underscores how law‑enforcement activity in crypto is no longer just a U.S. phenomenon. For users in Africa and other regions, this suggests heightened global regulatory interest in crypto‑linked transactions and data.

As exchanges expand globally and serve more jurisdictions, they are increasingly subject to data‑sharing demands from multiple governments – which may raise privacy concerns for users in jurisdictions with less robust data‑protection frameworks.

This development also highlights the growing importance of local regulatory clarity for African crypto users and regulators – to ensure that legitimate crypto activity isn’t swept up in broad enforcement efforts.

#FTX Creditor Motion to Limit Crypto Payouts to 49 Foreign Jurisdictions, Including Africa, Withdrawn

Some of the African countries affected by this restriction include:

* Nigeria * Egypt * Zimbabwe https://t.co/TRdefJij3X pic.twitter.com/n948MHaKki

— BitKE (@BitcoinKE) November 4, 2025

Coinbase emphasizes that it only complies with legally valid requests, adhering to applicable laws, but the growing volume – and especially the rising share of non‑US requests – reflects a broader trend: crypto platforms are under growing global pressure to cooperate with law‑enforcement authorities.

REGULATION | ‘We Have Not Licensed Any VASPs Under the [VASP] Act to Operate In or From Kenya,’ Says Central Bank and Capital Markets Regulator

For the global crypto ecosystem, this could drive:

Greater standardization of compliance protocols, as exchanges balance legal obligations with user privacy.

Increased scrutiny on cross-border flows of crypto, which could affect remittances, international transfers, and global DeFi usage – all relevant to African markets.

Regulatory spill‑over effects, where policies shaped in major jurisdictions may influence regulation in emerging crypto markets, including those in Africa.

EDITORIAL | Kenya Passes Landmark Crypto Law – Binance and Coinbase Expected to Lead Licensed Entrants

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The South African Reserve Bank (SARB) has concluded in a newly released November 2025 position paper that there is no “strong immediate need” for a retail central bank digital currency (CBDC). Although technically feasible, the bank argues that deploying a digital rand for everyday users isn’t necessary at present.

Instead, SARB says its priorities remain elsewhere – particularly on upgrading the national payments infrastructure and broadening participation in the payments system beyond traditional banks.

As reported by BitKE in 2021, The Reserve Bank said it was studying the use of CBDC in retail payments to investigage if it would be feasible, appropriate, and desirable, for the SARB to issue a CBDC to be used for retail purposes, complementary to cash in South Africa.

South Africa Now Looking to Upgrade From a Wholesale to a Retail CBDC

Interestingly, a 2024 report by Gallup provided the first comprehensive evaluation of the early effects of macroeconomic indications and subjective well-being of central bank digital currencies (CBDCs) adoption.

Despite considerable excitement about CBDCs, the analysis indicated that their effect on major economic indicators like GDP growth and inflation has been limited. The study’s statistical models examined countries that either tested or introduced CBDCs between 2019 and 2023 and found no evidence linking CBDCs with increased GDP per capita or reduced inflation in countries like South Africa, Sweden, Thailand, and South Korea. These results challenge the prevailing narrative that CBDCs are a cure-all for economic issues, especially in low- and middle-income countries.

STUDY | South Africa Leads Globally Among Countries with Largest Declines in CBDC Interest

It now looks like that study has not concluded with no viability based on the latest position paper.

That said, the door isn’t closed.

SARB will continue to observe developments around digital currencies globally and stay prepared to act if conditions shift. Meanwhile, the bank plans to pivot toward exploring wholesale CBDC use cases and improving cross-border payment efficiency.

In deciding against a near-term retail launch, SARB noted that for a CBDC to succeed, it must match – or surpass – the advantages of cash:

Offline functionality

Universal acceptance

Low cost

Ease of use, and

Strong privacy protections.

Given these stringent requirements, current digital-payment and banking reforms appear more urgent and effective.

Some of these include:

PayShap: instant payments in ≤10 seconds with pay-by-proxy via alias

eKYC digitization

QR code standardization

Open banking / Open finance frameworks

Expanding non-bank participation in the national payments system (fintechs + e-money issuers)

FINTECH AFRICA | How Digital Payment Systems Like #PayShap Are Driving the Cashless Economy in South Africa

Since launch in March 2023, the payments industry has processed over 74.2 million PayShap transactions, totaling $2.64 billion.https://t.co/7xDSeV3bvK @SAReserveBank pic.twitter.com/pmrGi1BJts

— BitKE (@BitcoinKE) October 16, 2024

The report also notes why consumers still prefer cash, which includes:

Tangible financial control

Backup during connectivity failures

Universal merchant acceptance, especially in rural areas

No need for devices, internet, or power

Finally, the bank reiterated that although about 16% of adults in South Africa remain unbanked, launching a digital currency wouldn’t automatically solve financial-inclusion challenges – especially without infrastructure that ensures broad accessibility and reliability.

REPORT | South Africa’s Online Retail Sector Outpacing Physical Retail by 10x – Crypto is Least Preferred Payment Option

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A Federal High Court on November 27 2025 dismissed a suit filed by Tigran Gambaryan, the former Head of Financial Crime Compliance at Binance, who accused the Economic and Financial Crimes Commission of Nigeria (EFCC Nigeria) of unlawful and prolonged detention.

As reported by BitKE, Tigran filed a lawsuite against EFCC Nigeria in March 2024 while in detention claiming that the federal government government is employing his prolonged detention ‘as leverage to continue making demands on Binance.’

[TECH] REGULATION | Detained Binance Executive, Tigran Gambaryan, Sues Nigerian Authorities, Wants Release and Apology: Binance Head of Financial Crime Compliance, Tigran Gambaryan, has asked the Federal Hig.. https://t.co/TpjYKu1TZQ via @BitcoinKE

— Top Kenyan Blogs (@Blogs_Kenya) March 29, 2024

Through his lawyer, Gambaryan clarified to the court that he is an American citizen who traveled to Nigeria on February 26 2024, accompanied by Nadeem Anjarwalla. Their visit was solely to attend a meeting with government officials, namely Mr. Saad Abubakar of the NSA and Mr. Olalekan Ogunjobi of the EFCC, upon invitation as representatives of Binance.

Justice Umar Mohammed ruled that the court would not, under the guise of enforcing Gambaryan’s fundamental rights, “interfere” with the authority of Nigerian prosecutors investigating suspected foreign exchange violations and alleged money laundering linked to the Binance platform.

Gambaryan had instituted the case against both the EFCC and the Office of the National Security Adviser (NSA), seeking compensation and costs over what he described as extended and unjustified detention by security agencies in connection with the Federal Government’s allegations of money laundering and FX infractions involving Binance.

During the hearing, EFCC counsel Olanrewaju Adeola argued that Gambaryan’s detention was lawful, citing charges related to money laundering and foreign exchange breaches. He further described the suit as “a gross abuse of court processes.”

REGULATION | #Nigeria Government Withdraws ML Case Against #Binance Officer But Company Tax Evasion Charges Remain

The money laundering case against @binance would proceed without Gambaryan as he seeks medical attention abroad. https://t.co/ruB4BoZkrK #Tigran pic.twitter.com/39b3pIHirH

— BitKE (@BitcoinKE) October 23, 2024

In February 2025, the Nigerian government reportedly filed a lawsuit against Binance, demanding $79.5 billion in compensation for “economic losses” and $2 billion in unpaid taxes.

REGULATION | #Nigeria Court Begins Hearing Tax Evasion Case Against @binance

Binance is accused of providing services – including crypto trading, remittance, and asset transfers – to Nigerians without deducting the required VAThttps://t.co/CcqN9558U7 @FIRSNigeria pic.twitter.com/CUuBuZtE9x

— BitKE (@BitcoinKE) February 21, 2025

Additionally, FIRS is requesting a 26.75% interest rate on the unpaid taxes, based on the Central Bank of Nigeria’s lending rate.

The case, submitted to the Federal High Court in Abuja, Nigeria, alleges that the cryptocurrency exchange operated in Nigeria without a license and failed to adhere to tax regulations describing its activities as ‘illegal transactions.’

REGULATION | Binance Discontinues All Naira Services Starting in March 2024

Naira deposits ceased after March 5 2024 with withdrawals stopping on March 8 2024.

Authorities have alleged that Binance benefited from ‘illegal transactions’ to the value of $26 billion.… pic.twitter.com/jKZ90I70ie

— BitKE (@BitcoinKE) March 7, 2024

The court agreed, ultimately dismissing the case and upholding the EFCC’s position.

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