Cryptocurrency is quickly gaining popularity in Kenya, with a number of business already accepting Bitcoin payment.
By 2019, the total number of Bitcoin transactions in Kenya was estimated to be worth over Ksh 161 million according to the Blockchain Association of Kenya (BAK).
Only about 40,000 people had transacted using Bitcoin in 2019, but the number has been rising ever since as many adopt to the new digital method.
Part of the reason crypto-currency penetration isn’t growing that much is because Kenya’s central bank has forbidden banks from dealing in virtual currencies.
Crypto-currencies are virtual money that can be used to pay for things in the real world, such as a hotel room, food or even a house.
The digital asset is designed to work as a medium of exchange wherein individual coin ownership records are stored in a ledger existing in a form of a computerized database using strong cryptography to secure transaction records.
Digital tokens are held in online wallets, and can be sent anonymously between users.
Paper Wave is one of the crypto-currency models in Kenya.
Paper Wave uses stellar coins that vary in value depending on the market flow.
The dynamic pricing makes it possible for people to trade and make quick profits.
Similar to the well-known Bitcoin. As others are selling, more are buying making it a low-risk investment with 99.9% chances of always landing profits.
“Crypto-currencies can facilitate and ensure that you do an unlimited number of transactions, however, the volatility, lack of control and the non-acceptability of crypto-currencies across different jurisdictions impair what you’d expect a currency to do,” economist and policy expert Vincent Kimosop told the BBC.
Blockchain Association of Kenya (BAK) says that using virtual currencies can greatly reduce the cost of transactions, and enable people without bank accounts to quickly make and receive payments.
According to BAK, there are many things Kenyans have realised they can use Bitcoin for – whether it is to pay merchants in China for goods, or to enable Nigerians to pay to send their children to school in Kenya or to enable young African freelancers to be easily paid for their work online.
Read more on: Paper Wave: How to Join and Earn With Crypto-Currency