When we think of the advent of cryptocurrencies in Africa, it's hard to think of anyone other than the Senegalese-American R&B singer Akon. Born Aliaune Damala Badara Akon Thiam, Akon spent a significant part of his childhood in Senegal, which he described as his "hometown". His love for Africa was something he portray continually in his music, and in 2019 Akon announced plans to launch his own cryptocurrency at the 2019 Cannes Lions International Festival of Creativity. Akon explained that Africa has over 40+ currencies across 54 countries, each struggling with a level of inflation and instability that makes growing business within the continent and internationally extremely difficult While also creating massive roadblocks for entrepreneurs who want to learn, earn, spend and save. Through Akoin, one currency powers a digital suite of business building tools and services to unite the people of Africa, and connect them with a world ready to fuel entrepreneurial dreams; including unparalleled access for global brands seeking access to the next largest untapped and unrivaled rising economy.
To support this ambition Akon laid out plains for the development of a futuristic city on a 2,000-acre parcel of land in Senegal. This city would run exclusively on Akoin. In April 2021 it was announced that further development would be taking place in Uganda.
The Akoin coin
On November 20 2020 Akoin was available for purchase through certain crypto exchanges. With an opening price of 14 cents, the coin peaked at 50 cents a coin but currently trades at 16 cents a coin.
1 dollar on November 25 2020 was worth 552 Senegalese francs, today it's worth 557 francs, the value of akoin rose by 2 cents during this same period. During this period inflation also went up by 2.53%, so the average citizen lost money on their savings. Meanwhile, Akoin’s value rose by about 15%.
There are 450,000,000 akoins in circulation, with no talks of further coins being released in the future. the coin seems to have no real-world applications as of yet, and adaptation appears to be low, with an average trading volume of $71,413. Akoins future seems to be firmly embedded in its potential, which is again aligned to Africa's potential.
Zuga coin
Another africoin competing in this area is Zugacoin. Zugacoin launched on 1 December 2020, it is the brainchild of a preacher, Archbishop Sam Zuga and has been endorsed by a number of politicians including Dino Malaye. Zugacoin’s website Zugacoin is a unique brainchild that aims to rebuild Africa's dying economy by becoming Africa's first coin in equity and investment funding for Africa's government instead of China. Starting a business in Africa can often be a gargantuan task, especially since the prospects of obtaining a loan are few and far between, we will give out loans to aid businesses and encourage investors.
There are 1,000,000 Zugacoins in circulation, with 50% of these coins being held by 1 account, and with 5 other accounts holding 82% of the remaining supply. For context, Zugacoin is currently worth $12000, which means 5 accounts control own 820000, which equates to $9840000000. This leaves roughly 180000, that $216000000 worth of coins in general circulation. The average value of coins traded on a daily basis is about $220000, so only a small number of trades take place on a daily basis. This might be due to the limited real-world applications for the coin.
Since Zugacoins launch, Zugacoin opened at $45,844, and currently trades at $12,000, however within this period the coin has repeatedly gone to $0, from significant peaks. this suggests the whale accounts are actively managed, and this can have a sudden impact on prices creating volatility.
Conclusion
Cryptocurrencies provide a unique opportunity for investors who value stability and want to actively take part in the African markets. It also provides an opportunity to safeguard African’s against price volatility in their home countries. However this is largely based on how well a cryptocurrency is managed, and the advent of real-world use. But that’s just what we think, tell us about crypto in your home nation, and whether you’ll be interested in investing in akoin, or wakanda inu. Continue the conversation over on the NoirMarche app, and in the comments section.
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