Despite the great backlash for the use of cryptocurrencies in some countries, Africa is crypto space with open arms. Many government officials are on their way to planning a legal set of rules for the crypto market in the government while others are openly declaring their approval and support for cryptocurrencies.
Abubakar, the former vice president of Nigeria, now running for the president’s position, has guaranteed that if he is elected, he will create a legal blockchain market in Nigeria. He further elaborated his plans in a policy he launched before the elections. He says that the crypto space field will provide trade possibilities along with thousands of jobs that will help build the economy of Nigeria.
Nigeria is among the top crypto trade markets in Africa. Abubakar is very positive about the crypto space field and sees a lot of potential in it. With legal government support, there will be an immense success for crypto space in Nigeria.
Similarly, in East Africa, Uganda is at the heart of African crypto space with a flourishing crypto market ever since Binance emerged in the country. Despite not being as successful as the markets in South Africa Uganda’s crypto market is slowly building its way up.
Some emerging reports are suggesting that the government of Uganda is formulating rules that will prevent illegal actions in the crypto market. This will build trust regarding the space among Ugandans because people have fallen victim to scams and frauds in the past.
Government-issued rules will provide a stable trend for the trade of cryptocurrency. David Bahati states that a bill approved by the cabinet will be passed next month that will help victims that have suffered losses in the crypto space through frauds and scams.
Earlier this year, governments in South Africa inflicted tax regulations on cryptocurrency traders in April. These regulations compel them to come clean with their transactions of cryptocurrency.
Whereas July brought news of a Taxation Laws Amendment Bill. This was the earliest attempt to popularize worth of cryptocurrency in Nigeria. Changes will occur in both the VAT Act and Income Tax Act. A suggested change is the addition of cryptocurrency in the definition of “financial instrument” in the Act.
Africa is clearly digging deeper into crypto space eyeing the potential in the crypto market. African counties are truly trusting the value of the digital currency in the world economy.