ACR #14: ID + Wallet = 💸
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Two African-based blockchain startups, Flex ID from Zimbabwe and Uhuru Wallet from South Africa have collaborated to announce the launch of an ‘integrated digital identity and remittance platform’ in a bid to lessen the troubles encountered by migrants living and working in South Africa in the process of transferring funds across borders.
In a move described by both startups as the ‘first cross-chain collaboration’, the integrated platform is expected to provide a seamless and secure remittance experience for Zimbabwean immigrants in South Africa.
What does this mean?
Uhuru Wallet was launched in 2020 as an initiative of Uhuru Innovative Solutions, providing an efficient payment method running on Whatsapp and anchored on blockchain technology that enables people to transact easily and intuitively. It allowed people with limited access to financial services to make domestic and international payments.
However, Flexid, founded by Victor Mapunga, was established to tackle the problem of banking systems that excludes those without identity documents. It is built on the Algorand Blockchain.
Note that across Sub-Saharan Africa, South Africa is ranked among the biggest senders of remittances. However, it usually costs between 5% and 20% to transfer money to Zimbabwe when it is done via money transfer agencies. This has made Zimbabwean migrants explore other alternatives, such as couriers or unregistered remittance platforms which most times are unsafe and unreliable.
The partnership will look to provide a solution that reduces high transfer fees and makes identity verification more seamless.
Now, this jointly launched platform by Flex ID and Uhuru is expected to create better options for Zimbabwean migrants and drastically reduce the average cost of remitting funds.
Generally, the initiative is indicative of how innovative African blockchain startups can solve local problems.
What else?
Binance Announces Support For New African Currencies
Binance has announced that its P2P marketplace will now support more African currencies, including the Liberian Dollar (LRD), Sierra Leonean leone (SLL), Gambian dalasi (GMD), Mauritanian ouguiya (MRO), and Cape Verdean escudo (CVE).
The program is aimed at increasing blockchain development on the continent by taking advantage of the continent’s young population where more than 60% are below the age of 25, in addition to some of the highest rates of crypto adoption in the world.
South Africa Added to FATF 'Grey List' Despite Designation of Crypto as a Financial Product
A South African financial industry regulator designated crypto as a financial product after the FATF reportedly voiced its concerns over the lack of regulation of such assets. At the time, some commentators suggested that this move would help South Africa avoid getting grey-listed.
Product of the week
NftyTribeÂ
NftyTribe, built by AFEN Blockchain Network is an NFT marketplace that helps onboard and discover African NFT creators, with a focus on integrating physical items tied to NFTs.Â
The platform helps creators list their collections and seamlessly transfer physical items or collectibles tied to their NFTs, making it accessible to those who have been sidelined by the purely digital nature of NFTs.
Personality Spotlight
Jacon Osinachi Igwe
Osinachi is a renowned digital artist who became the first crypto-artist from Africa to have his work sold by Christie’s Auction House in London, in 2021.
His first encounter with arts on the blockchain or what is now known as NFTs was in late 2017 when he saw an article written about the subject through a google alert for visual and digital arts that he had set up. Since then, he has grown to become the first African artist to sell artworks at Christie’s Auction House, to wide applause and recognition.
What’s the meme?
What we are reading
That’s all for now. See you next week Monday!
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