Strike Mobilizes for Cross-Border Transactions to Africa
Strike mobilizes for Cross-Border transactions to Africa. Strike, a digital payment system based on the Lightning Layer 2 Network, has launched a new initiative to streamline cross-border payments in Africa.
According to the announcement, the new feature called “Send Globally” will make quick payments cheaper in Africa. Strike President Jack Mallet made the announcement during the AfroBitcoin conference in Ghana. To offer its services to the African market, Strike has entered into a partnership with Bitnob, an African payment platform that enables direct payments in Africa.
With the new Strike feature, US-based users can now send money to recipients in African countries. This amount is converted into fiat currency and deposited into the recipient’s bank account, or Bitnob account, or mobile wallet. Although this feature is currently available in Kenya, Ghana, and Nigeria, Strike plans to roll out this feature to other African countries.
The Strike solution significantly reduces the burden on financial institutions to access USD liquidity at no cost. This feature is important in countries where payment options are beyond the limit.
According to Mallers, high processing costs, lack of innovation and rapid discontinuation are constant obstacles that affect the developing world negatively. Strike, with its new service, offers a way to make instant payments and access to affordable banking services.
The rise of cryptocurrency use in Africa
Interestingly, Africa is one of the fastest growing crypto markets, to highlight this fact, three countries from the region are among the top 30 countries in this year’s Crypto Adoption Index. Also, a recent survey has shown that Nigeria, a country in the West African region, ranks high in crypto literacy as almost half of its population and -use or own cryptocurrency.
While acknowledging that Africa is a region where the crypto market continues to grow rapidly, the International Monetary Fund (IMF) has called for stronger consumer protection laws in Africa. It should be noted that only a quarter of the countries in the region actively regulate cryptocurrencies. Countries such as Zimbabwe and Liberia, on the other hand, have refused to impose conditions on digital assets, but are working hard on virtual asset service providers (VASPs).