It is estimated that over 4.2 million people, 7.1% of South Africa’s total population, currently own cryptocurrency.(1)
South Africa – Africa’s potential crypto hub?
South Africa constantly ranks within the top 10 worldwide in online searches for “cryptocurrency” and “bitcoin” on Google.(2)
How do South Africans view crypto?
17% of South Africans shared that they used or owned at least one form of cryptocurrency. In addition, 10.7% of South African internet users own crypto – the highest per capita in the world.(3)
Crypto’s rising popularity in South Africa
Coindesk: Plans Afoot in South Africa for Country’s First Bitcoin ETF – April 2021 Earle Loxton, the co-founder of DCX Capital, has revealed plans to launch South Africa’s first bitcoin exchange-traded fund (ETF). Loxton said in a podcast Wednesday the company will be making an application to the Johannesburg Stock Exchange (JSE) for the ETF. The application will be made through Easy Equities, an online trading platform that acquired a controlling stake in DCX Capital in October.
Moneyweeb: Will the crypto premium in South Africa last forever? – April 2021 Those who have been following the crypto markets will have noticed that the arbitrage premium has become smaller in the last few years – that is, South African prices for crypto assets are more in line with overseas prices. 2017 was probably the heyday for crypto arbitrage when South Africans paid 5-10% more for bitcoin than they would overseas. There were sustained periods when that premium jumped to 25% or even 30%. Using your offshore investment allowances, you could ship US dollars abroad, buy bitcoin on an offshore exchange and immediately ship it back for sale on a local exchange and lock in a more or less immediate profit.
