1. The Utility of Crypto in Africa

Dayo emphasized that Africa leads the world in developing utility-based crypto applications, primarily driven by the need for survival rather than speculation. In regions like Nigeria and Uganda, builders are creating crypto solutions that cater directly to local challenges rather than investing in speculative projects. This shift towards utility underscores how crucial blockchain technologies are for solving Africa's real economic problems, paving the way for growth in sectors like finance and remittance.

2. The Role of Peer-to-Peer Payments

Dayo pointed out that peer-to-peer payments are one of the main use cases for crypto in Africa. The process of buying crypto differs vastly from that in the U.S.; for example, in Lagos, it often involves using WhatsApp to connect with third-party resellers instead of a straightforward account setup. This underlines not only the necessity of adapting financial technology to local realities but also the potential for crypto to simplify these transactions in the future.

3. Remittance as a Key Use Case

According to Dayo, remittances represent a significant opportunity for cryptocurrency applications in Africa. The high fees typically associated with sending money back home—often reaching 10%—can be drastically reduced to only about 1% when using crypto like Bitcoin or USDC. This cost-effectiveness can offer vital financial relief to many families, making crypto an essential tool for both economic support and long-term stability.

4. The Promise of Stablecoins

Dayo highlighted that stablecoins have emerged as a popular financial product in Nigeria, acting as a hedge against rampant inflation. With many African countries experiencing double-digit inflation, stablecoins provide a reliable alternative for savings and transactions. This demonstrates how crypto can offer tangible benefits in economic climates where local currencies struggle to maintain value.

5. Innovations in Microfinancing

Dayo discussed how many entrepreneurs in Africa are turning to crypto for microloans, noting that traditional financing methods can be difficult to access. Funding initiatives via blockchain can streamline the process and provide quicker access to capital for startups. This growing trend suggests a significant evolution in how financial services can empower local business owners.

6. Challenges of Identity Verification

Dayo indicated that over 50% of the African population remains unbanked, often due to inadequate identity verification methods. He noted that projects targeting identity management, like those emerging in Ethiopia, are critical for enabling wider participation in the financial system. By improving identity solutions through blockchain, the potential for financial inclusion is substantial.