Crypto Trading Options in Africa - AfriCoWorking
Different options for Africans, including both smart and feature phone options
Telephone Network Trading
The first option for folk in Africa is to use a telephone network based crypto currency from Sarafu Networks.
Sarafu is itself a currency, which is backed by service provision from Sarafu Networks, and can be redeemed as such against those services.
In Kenya, 200,000 Kenyans are using Sarafu based currencies to trade with each other, in each case each currency is backed by a product or service offered by that trader. It could be bananas, it could be social media consultancy.
For other countries, a negotiation will be needed with local telephone service providers, and support for this can be provided.
Sarafu onboarding is handled through a WhatsApp group that is usually accessed through a Facebook group, Collaborative Leaders.
Coinvise Trading and Gratitude Economies
A final option, available to folk in Africa, and indeed globally, is Coinvise. Again good power supply and web access are needed. Coinvise can be set up for individuals, again on a smart contract basis, with each coin needing the backing of services or products from the token provider, to retain value in the token.
We can consider that folk give “credit vouchers” in the form of Coinvise tokens!
Circular Economy and Cashless Trading
Money at Rest Doesn’t Deliver Value
Adam Smith wrote with huge insight in the Wealth of Nations, when he described exchange as a win win transaction, where both parties perceive an increase in the value they now hold. An item of lesser perceived value is given away, to receive an item of greater perceived value. And on both sides of the exchange!
Credit and wealth hoarding is therefore a bad idea, because it means folk with no money cannot trade their way forwards and into positions of better value.
Circular economies seek to provide trading opportunity to folk with or without fiat money, which can be through toke based trading or through ledger based trading, which some know as mutual credit.
This is a short video on trading opportunities in Nigeria using cashless trading thinking, including barter opportunities, combined with Needs & Offers thinking, as a way to ensure that a trade takes place, it’s not just Africans pleading for charity.
Meeting Redemption Requests
While tokens can be bought and sold in open market conditions, the promise to pay condition on any token can be called on for redemption at any point.
Another key option for folk to consider here is the provision of digital services, to be able to meet redemption requests on tokens issued. It’s therefore important to “control” credit issued, to make sure it can be provisioned if called upon.
One way to keep obligations legal is to have a sunset clause on tokens, such that they lose their redemption value eg 3 years after issuance.
This is designed to prevent tokens being presented for redemption after the trader has ceased trading.
SEEDS Currency & Benefits
Another option, available to folk with strong local power supply and full web access is the SEEDS currency.
The access for this and benefits are currently being defined.