Security, Knowledge main Challenges to Cryptocurrency trade in Africa

The Kaspersky Africa’s Cryptocurrency Report 2019 which, based on feedback from respondents, has highlighted several risks including volatility in value, lack of regulation locally, lack of education, taxation issues and cyber fraud as impacting progress of cryptocurrency trade in Africa.

Bethwel Opil, Enterprise Sales Manager at Kaspersky Africa said, “The survey found that there is a desire amongst many consumers to use cryptocurrency, but a knowledge gap is getting in the way of taking the plunge. In addition, many people who thought they knew what they are dealing with, later decided against using cryptocurrency.”

On a global level, over 80% of respondents have never used cryptocurrencies underlining the low penetration for digital currencies. Only 10% said they understood how these digital currencies work, with 35% viewing it as a fad.

Despite the slowly growing trend on digital currencies, Opil said that paramount to adoption is cyber security.

He said it was commendable for government to set up a task force to understand the space and also help in curbing criminal activities fuelled by the use of digital currencies.

“Always verify a web wallet’s address and not following links to an online bank or web wallet,” Opil added. “Double-check recipient addresses, the amount being sent, and the size of the associated fee before sending a transaction.”