Changpeng Zhao, the founder of the currently largest crypto exchange, explains why he considers Africa as an untapped potential for crypto and how this can be changed.
The largest crypto exchange in the world
Although the Binance exchange has only existed for 3 years, it has already gained millions of users worldwide. It now boasts 8 billion daily volume and over several million transactions per second!
Binance’s founder, Changpeng Zhao, also known as CZ, believes that Africa has great potential for the adoption and development of the crypto. During the AMA (Ask Me Anything) session he spoke quite widely on this subject.
Binance for Africa
The world’s largest exchange crypto in terms of transaction volume, Binance is slowly opening platforms in African countries. Already in 2018 they started their expansion starting from Uganda, followed by Nigeria and South Africa.
As CZ underlines, since the first day Binance was launched in 2017, they had users from Africa who were quite active. They have always known that Africa is an important market. Shortly after the opening of the stock exchange, Changpeng Zhao went on a trip to Africa to visit Uganda, Togo, Nigeria and Ethiopia, learning a lot about the market and shortly afterwards opening Binance Uganda.
Binance has been taking over Africa country by country for the last two years, but at the same time, it has also been helping intensively in charity support for the needy and African start-ups. CZ believes that Africa will become a very important cog in his company in the future.
“I think the whole African market is crucial, and this year we were lucky to find a banking partner in South Africa, so we can make deposits through bank accounts.”
Despite the fact that there are several crypto exchanges in South Africa, they are still relatively small and their coverage is quite weak. Changpeng says that buying cryptocurrencies in Africa is still difficult and for this reason, he wants to improve the situation.
The biggest problem with the massive introduction of Binance across Africa is that a large number of Africans do not have a bank account. However, there are also minor problems, such as difficulty in working with African banks, old or missing banking APIs, and the difficulty of verifying users due to the lack of Western-style addresses. This is a very untapped market, but at the same time there are many challenges waiting for companies there and this may be the reason for not using the potential.
Despite all the problems that the stock exchange is facing after the increasing entry into the African market, they do not intend to give up.
Founder Binance, believes that the coronavirus pandemic can help his plan because everything is becoming more and more online, more and more digital and that this is arousing interest among citizens and countries that will adapt.
The future world may be an ideal place for crypto globalisation.