E-Financial
3 Trends in Africa’s Crypto Sector to Expect in 2022
For the global cryptocurrency industry, 2021 is likely to be remembered as one of the many years bitcoin broke past its all-time price high and drove the sector even closer towards mainstream adoption. However, from a regional perspective, it is also arguably the year where Africa took centre stage.
From a reported 1,200% surge in crypto adoption, the launch of Africa’s first central bank digital currency and the Central Bank of Nigeria’s circular on cryptocurrencies, it is hard to navigate any of the key conversations surrounding the sector without referencing activities on the continent.
As we kick off the new year, Marius Reitz, Luno’s General Manager for Africa, explores three key trends to expect on the continent throughout the year:
Rethinking Regulation
To describe regulation of Africa’s crypto sector in 2021 as eventful would be an understatement. Last year saw the continent’s major economies take a much more proactive stance on consumer protection with one strategy in particular grabbing attention – the introduction of blanket bans. For countries that adopted these measures, the results have been far from ideal with trading activity being pushed underground and regulators left with a reduced level of visibility of the sector.
With this in mind, we could see a greater openness amongst regulators to work alongside industry players to establish a more robust and effective framework, which could encourage other African countries to follow suit.
As we’ve witnessed from China, blanket bans do little in terms of limiting trading activity and protecting consumers but engaging experts who understand the nuances of new and complex technology like cryptocurrencies can provide a huge amount of value on how to protect consumers from its risks.
Kenya’s emergence
With Nigeria’s crypto ban dominating headlines throughout 2021, one significant development on the continent which potentially slipped under the radar was Kenya’s ranking as the world’s leader in P2P trading volumes for the second consecutive year.
The country’s crypto industry is booming with a rapidly emerging crop of companies building blockchain-based solutions and considering its young population, high levels of mobile connectivity and familiarity with digital payment solutions like mobile money, it’s firmly positioned to emerge as East Africa’s leading crypto hub in 2022.
However, in order for any significant inroads to be made in terms of mainstream adoption, the importance of widespread crypto education can’t be understated.
According to Luno’s 2021 consumer research survey, 64% of Kenyans don’t invest in cryptocurrencies as they don’t simply understand them and given Kenyans were also found to be the most proactive in seeking out financial advice from traditional sources (i.e. financial services companies, publications and advisors) before making investment decisions, it is vital crypto firms go the extra mile to ensure the right information is readily available.
A new solution to Africa’s remittances problem
It is no secret that investments are currently the most prevalent use case for cryptocurrencies across Africa however, one area which could receive a major boost this year is remittances.
According to the World Bank, total remittances in Sub-Saharan Africa alone broke past $45bn in 2021 but with the severe lack of foreign currency reserves across Africa stopping companies from receiving international payments and remitting their profits, many businesses could look towards cryptocurrencies as an alternative means of handling cross-border transactions.
The key strength of cryptocurrencies in this area lies in the open and decentralized blockchain networks that support them, which allow money to be easily transferred between parties without all the lag times and exorbitant fees no matter who or where they are.
Similar to most aspects of the crypto industry, progress in this area will be heavily dependent on a favourable regulatory climate and should this materialize, cryptocurrencies could emerge as a major asset for companies with extensive operations throughout Africa.
Expect the unexpected
Despite the huge influence developments in the three categories mentioned will have over the course of the next year, they are by no means the only trends to keep an eye on.
For example, attracting institutional investment into Africa’s crypto space is still a major problem; however, we could see more mature markets on the continent like South Africa introduce stronger regulatory frameworks to encourage more participation from these stakeholders.
Equally, as the sector grows in popularity, it is attracting world-class talent as well as attention from leading media outlets who are dedicating more resources to quality reporting and both of these are trends that we should expect to continue.
However, if we have learnt anything from events over the last two years, we should also expect the unexpected and whilst this can often breed uncertainty, a quick look at Africa’s current position and prospects should still provide huge optimism that it remains the most promising region for the adoption of cryptocurrencies.
United Bank for Africa (UBA) has announced strategic expansion into more African countries even as it plans to open a new office in Saudi Arabia, marking a significant milestone in its mission to connect Africa with key global markets.
Oliver Alawuba, GMD/CEO, UBA group,
This emerged during the Group’s Half Year Business Review held at its global headquarters in Lagos, where Oliver Alawuba, group managing director/CEO, UBA group, met with senior executives overseeing UBA’s 24-country footprint.
The meeting reaffirmed the bank’s pan-African strategy while outlining bold new steps into global markets.
Alawuba highlighted UBA’s continued growth outside Nigeria, with more than 51.7% of Group revenues now generated from its ex-Nigerian operations.
He described the Saudi expansion as a move that positions UBA to support cross-border trade, attract investment flows, and better serve the African diaspora.
“UBA’s vision is clear—we are building a truly global institution anchored in Africa, but serving customers across continents. Our entry into Saudi Arabia signals confidence in new opportunities and commitment to supporting economic connectivity between Africa and the Middle East,” he said.
The Saudi expansion adds to UBA’s international presence, which currently includes the United Kingdom, United States, France, and the United Arab Emirates. Alawuba also disclosed that the bank is upgrading its operating licence in France to further strengthen its European operations.
“In Europe, UBA has operations in the United Kingdom and is upgrading its licence in France, expanding its capacity to serve cross-border trade, investment flows, and the African diaspora, complementing our over 40-year presence in New York,” Alawuba noted.
Since launching its pan-African journey with an entry into Ghana in 2004, UBA has expanded rapidly across 20 African countries, establishing itself as a leading driver of financial inclusion, innovation, and regional integration.
Ecobank Transnational Incorporated announced its plan to raise up to $250m in Additional Tier 1 capital through a private placement of contingent convertible notes.
In a statement filed on the Nigerian Exchange Limited recently, the capital raise was approved by shareholders at the company’s Extraordinary General Meeting held in Lomé, Togo. The private placement offer was launched on July 9 and will run for ten days.
“Following the approval of the shareholders at its Extraordinary General Meeting held on May 28, 2025, in Lomé, Togo, to raise up to $250m in additional Tier 1 capital qualifying instruments via a private placement of contingent convertible notes, Ecobank Transnational Incorporated announces the launch of the AT1 effective July 9, 2025, for ten days. Renaissance Capital Africa has been appointed as the transaction adviser to ETI.”
The move is an initiative aimed at strengthening Ecobank’s capital adequacy, enhancing financial resilience, and supporting its long-term growth ambitions across its diversified pan-African banking platform.
Additionally, Madibinet Cisse, Ecobank’s Company Secretary, said, “This proposed capital raise represents a critical step in our efforts to fortify the bank’s financial foundation and support sustainable growth across Africa.”
It would be recalled that Ecobank Transnational Incorporated, the parent company of the Ecobank Group, has raised an additional $125m through a Eurobond tap, bringing the total size of its 2029 notes to $525m.
Ola Olukoyede, chairman, Economic and Financial Crimes Commission (EFCC), has announced that the body has recovered lost funds from the CBEX fraud scheme.
Olukoyede did not announce the amount recovered, but he assured Nigerians that the EFCC is taking action against the promoters of the scheme.
The EFCC Chairman emphasised that the suspects found are facing prosecution.
“We have found a lot of people culpable. Those who promoted that scheme are within our jurisdiction and have been arrested. So, at this moment, they are being prosecuted. And we can also say that money has been recovered, even though the process is still ongoing for us to finally forfeit it,” he said.
Olukoyede also urged Nigerians to exercise caution when investing their resources into online platforms.
“Ponzi schemes remain one of the most pervasive threats facing unsuspecting investors. The CBEX case is a clear example. We all remember the outcry that followed the collapse of the scheme, but these unfortunate situations are preventable. Nigerians must begin to conduct due diligence before committing their resources to such platforms,” Olukoyede said.
He also stressed that the body remains committed to fishing out the culprits and recovering the lost funds.
“It was only when the bubble burst that people wanted EFCC to perform magic and recover their money. In the case we investigated in Lagos, which we dubbed Operation Flush, we arrested a large number of foreigners involved in various cybercrimes, including CBEX. I want Nigerians to know that as of today, we have secured close to 150 convictions. Some of them are already serving their jail terms. And when they are through with that, we are going to send them back to where they came from. So we are monitoring them,” he added.
He urged the public to stay vigilant, assuring them that the body will see the case to the end.
“We are no longer the EFCC that drops cases halfway. Whatever we start, we will finish. Nigerians should trust us and believe in our capacity to do justice. Some of these cases are complex and may require cross-border investigations, but we are up to the task,” he said.
Nigeria Week Ahead: Inflation, Oil and Naira in focus
EFCC: Accusations Against Our Chairman Are Baseless and Misleading
EFCC Says Corrupt Politicians are Using Crypto Wallets to Launder Money
UBA Expands to More African Cities, Stamps Footprint in Saudi Arabia
NCC Speaks of Plans to Secure Telecom Infrastructure Nationwide
Telecom3 days agoNCC Speaks of Plans to Secure Telecom Infrastructure Nationwide
General News3 days agoAirtel Nigeria Drives BFSI and Utility Sector Innovation with Industry-wide Workshop
Telecom3 days agoAfrica’s Lawmakers Commit to Strengthening AI, Digital Health and Smart Manufacturing Frameworks
E-Financial3 days agoUBA Expands to More African Cities, Stamps Footprint in Saudi Arabia
General News3 days agoEFCC Says Corrupt Politicians are Using Crypto Wallets to Launder Money
E-Financial3 days agoEcobank Plans to Raise $250m Capital Through Private Placement
News3 days agoIHS Nigeria, UNICEF Donate Oxygen Plant to Bridge Health Gap in River State
Telecom3 days agoNITDA DG: AI Is an Ally for Innovation, Not an Enemy