Kenya has been ranked first in the world when it comes to peer-to-peer cryptocurrency transaction volumes as crypto adoption jumped by over 880% with P2P platforms driving usage in emerging markets.
The report by Chainalaysis, an organization that provides data and analysis to government agencies, exchanges, and financial institutions, noted that many turned to cryptocurrency to preserve their savings in the face of currency devaluation, send and receive remittances, and carry out business transactions.
The report noted that Kenya was ranked higher alongside countries such as Nigeria, Vietnam, and Venezuela.
“Our interviews with experts in these countries revealed that many residents use P2P cryptocurrency exchanges as their primary on-ramp into cryptocurrency, often because they don’t have access to centralized exchanges.”Chainalaysis said in the report dubbed “2021 Global Crypto Adoption Index.”
In Kenya, many used cryptocurrency to carry out international transactions for individual remittances as well as purchasing goods to import and sell.
Last year, the global index also ranked Kenya among the top ten countries in cryptocurrency adoption. You can read the article here; Report Ranks Kenya, SA & Nigeria Among World’s Top 10 Countries in Cryptocurrency Adoption.
Crypto in Kenya in 2021
Triple A, a blockchain and crypto company conservatively estimate that close to 16.5% of Kenyans hold cryptocurrency.
Despite the increased cryptocurrency adoption and awareness, Kenya’s central bank has previously issued circulars to all Kenyan banks requiring them to refrain from doing business with crypto-based companies.
A recent research, The Mastercard New Payments Index shows that 99% of Kenyan consumers will consider using at least one emerging payment method, such as cryptocurrency, biometrics, contactless, or QR code.
Additionally, the survey shows 4 in 10 people (43%) in Kenya say they plan to use cryptocurrency in the next year, with more than two-thirds (69%) noting they are more open to using it than they were a year ago.