Bitcoin is the best-known cryptocurrency in the world today. There are almost 20 million Bitcoins in circulation. Bitcoin, therefore, also plays a central role in Africa. Let’s take a closer look at this together.
Why Bitcoin is particularly relevant
Inflation and the associated loss of value are high. In Africa in particular, the inflation rate has risen sharply compared to last year. Bitcoin therefore plays a particularly relevant role, as it protects people from the loss of value and at the same time provides a possible return.
Furthermore, Third World countries have excessively high transaction costs at banks, which most citizens can hardly afford and therefore fall back on a cheaper alternative.
In addition, by investing in cryptocurrencies like Bitcoin, the young population can build up financial freedom and save their own money.
Influence on money transfers and international payments
As briefly mentioned above, you can see that Bitcoin plays a very important role in payment transactions in Africa. But what impact does it have on remittances and payments, exactly?
Restrictions on the movement of capital
There are various points here that make it difficult for residents of Africa to conduct normal banking transactions. Firstly, transactions across borders are not possible, so they cannot send money to family and friends from far away. Furthermore, the exchange rates are very poor, and there are also extreme bank charges.
Supplying the families
They not only use it to support their family, but also to save for future education costs for their children. 48% of all people who are invested in cryptocurrencies are investing because they want to secure a better future for their children, and another 43% are investing to build wealth.
Use as a store of value
A significant characteristic of a store of value is its durability, which must not be lost over the years. Intrinsic value also plays a major role. You can recognize its value by the effort a miner has to put into creating it. The value of Bitcoin is therefore measured by the energy required to mine it.
Supply and demand are also important features in determining a store of value. If a thing is available in abundance, both the demand and the value behind it decrease at the same time.
Bitcoin halving every few years increases the processing time of a block and reduces the reward for the miner. As the miner stops mining new blocks at some point due to the ever-decreasing reward, we will reach a point where only a certain amount of bitcoins is still in circulation and there will be no more.
How our exchange facilitates Bitcoin trading
Uptota offers you an easier Bitcoin trading experience through various factors.
For one, we offer comprehensive security measures for you as we employ excellent security protocols that protect your assets and the exchange.
Furthermore, we offer a very good user interface to make your trading experience as smooth and transparent as possible. This includes our user-friendly mobile app, which gives you free access to your cryptocurrencies at any time and includes all the important functions of the web version.
Another point is a versatile trading option that provides you with a wide range of cryptocurrencies and trading pairs. In addition, we offer various fiat deposit & withdrawal options and staking products.
Of course, it’s also essential to us that we get all your questions answered quickly, which is why we have an all-in-one customer support team that is always available to you and includes extensive FAQs plus email help for queries and problems.
