Can blockchain make a difference? Africa sees vast monetary potential

Michelle Chivunga, CEO and founder of digital economy and blockchain solutions group Global Policy House, as well as an advisor to the governments of Bermuda, the African Union and the United Kingdom, told Cointelegraph: Victor Mapunga, a Zimbabwean blockchain entrepreneur who co-founded FlexID — a blockchain-based digital identity solution wallet running on the Algorand protocol — told Cointelegraph that infrastructure powering the use and trade of cryptocurrencies has been a major driver of blockchain technology across the continent, but a plethora of use cases are already being explored: “There is still a lot of work to be done, so far peer-to-peer and centralized crypto exchanges have been the predominant flavor.” Cape Town-based software developer and smart contract engineer Stephen Young, the founder and CEO of decentralized finance platform NFTfi — a peer-to-peer marketplace for nonfungible token collateralized loans — told Cointelegraph that cryptocurrency onboarding infrastructure like centralized and P2P exchanges have rolled out efficiently in different African countries and is the most prominent use of blockchain technology on the continent.

He added that the potential uptake of DeFi platforms could be on the cards in the next year: Peter Munnings, a former ConsenSys engineer who co-founded decentralized liquidity management and international payments firm Adhara in 2018, pointed out to Cointelegraph the potential of improved cross-border settlement through blockchain solutions on the back of his experience working in the South African banking sector, “Across Africa, settlement is slow and complicated because of the lack of liquidity.” She also hopes to see blockchain help disrupt wealth inequality across the continent and provide greater access to transparent and accountable financing: As blockchain solutions are slowly being explored and developed to address uniquely African challenges, the potential for greater influence seems almost limitless.

Timeline of Algorand