Recently, Cardano has set its sights on expanding its operations into the African market. The plan is set for 2022 .
As 2021 draws to a close, Cardano celebrates a series of significant achievements and looks forward to further advancements and innovations in the upcoming year.
For 2022, Cardano's main focus and strategy are centered on developments within Africa, as disclosed by Charles Hoskinson, Cardano's founder, in a YouTube video shared on Christmas Eve.
Hoskinson spoke about Cardano's future, emphasizing how DeFi could revolutionize Africa's financial landscape, with Cardano playing a crucial role in this transformation.
What Is Happening With Cardano?
The founder of Cardano has reiterated the company's objective to establish DeFi services, including loans, in Africa and to continue broadening its influence there.
By the second quarter of 2022, Hoskinson aims to integrate all necessary components for a complete microfinance transaction on Cardano.
He commented,
“In the latter half of 2022, my aspiration is to consolidate all elements for a seamless microfinance transaction on Cardano. This would enable a Kenyan individual or someone else with blockchain-based identity and credit scoring, using stablecoins, to conduct peer-to-peer transactions via Cardano. With just one click, the loan process initiates, allowing repayment to flow back seamlessly.”
During his holiday broadcast, Hoskinson also elaborated on Cardano's growth alongside broader trends in the crypto sector.
The rise of Decentralized Finance (DeFi) and the buzz around non-fungible tokens (NFTs) are gaining traction. However, cyber threats remain a concern, with significant losses reported across various DeFi projects by 2021.
According to Hoskinson, Cardano has enabled the issuance of two million assets, mostly comprising NFTs.
He mentioned that over 127 projects are in the pipeline for developing decentralized applications (dApps) on the Cardano network, with 20-30 expected to launch shortly.
Africa is a Massive Market
In October, Charles Hoskinson confirmed an MOU with Burundi's government, marking his first significant agreement since Cardano's African tour began in mid-October 2021.
Cardano's growth strategy in Africa isn't just economically motivated. The company has partnered with Ethiopia's Ministry of Education to advance digital identity solutions through blockchain.
Under this collaboration, educators and students will effortlessly access and track academic performance metrics in East Africa.
In September, Cardano announced a collaborative agreement with Tanzania's government.
This initiative aims to drive digital inclusion and stimulate economic growth in underprivileged areas.
As part of this partnership, Cardano pledged a $6 million investment in Africa, acknowledging the continent's vast potential for pioneering developments.
Observing the flourishing entrepreneurial spirit in Africa, Cardano strives to support the most groundbreaking opportunities.
John O’Connor, Director of African Operations, elaborated on the collaboration:
“While working with African enterprises, I've encountered extraordinary entrepreneurial energy. At Input Output, we champion democratizing opportunities, ensuring fair access to capital to manifest these creative ideas, thereby solving global challenges.”
Is Africa Poised to Embrace Cryptocurrency?
Africa ranks among the fastest-growing regions for cryptocurrency economies. Unlike stocks or other traditional investments, cryptocurrencies offer novel opportunities to many Africans.
Experts suggest that some African nations benefit from adopting cryptocurrencies and the technology behind them. Cryptos may serve as an alternative to conventional banking in Africa.
This growing adoption highlights why cryptocurrencies are gaining popularity in Africa. Digital currencies like Bitcoin and Ethereum offer a practical and cost-effective mode of payment.
The burgeoning acceptance of cryptocurrency in Africa is likely to have a ripple effect, influencing adoption in other global regions.
