Hello people, it’s August. Can you believe, we are already halfway through 2021? We can’t either. As usual, we have another monthly roundup for you, inclusive of the most exciting news out of Africa. This month we explore Nigeria’s launch of its digital currency, as well as news from AppsFlyer, Visa and Voltron Capital, amongst others. Here’s the roundup.
Nigeria to launch its own digital currency
Earlier this year in June, Nigeria announced plans to launch its own digital currency. Finally, the Central Bank of Nigeria (CBN) has confirmed it will launch the pilot scheme of its digital currency by October 1, 2021, to include macro-management and growth, cross border trade facilitation, financial inclusion, monetary policy effectiveness, improved payment efficiency, revenue tax collection, remittance improvement, and targeted social intervention. This is following extensive research that has been undertaken by the apex bank since 2017.
In a statement by CBN’s Director of Information Technology, Rakiya Mohammed, the CBN said about 80% of central banks globally are currently exploring the possibility of issuing their central bank digital currency (CBDC) and Nigeria could not be left behind. The project name is tagged ‘GIANT’ and it will use the Hyperledger Fabric blockchain, an open-source project that acts as a foundation for developing blockchain-based products, solutions, and applications using plug-and-play components that are aimed for use within private enterprises.
It is no wonder that the CBN, in February 2021, banned the trading of cryptocurrencies in the country, claiming that cryptocurrencies pose the risk of loss of investments, money laundering, terrorism financing, illicit fund flows and other criminal activities. It’s quite clear they wanted to have some sort of monopoly.
Here is a roundup of other news stories from the African startup scene in June:
What else are we reading:
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