Bitsika Africa, a crypto startup operating out of Ghana and Nigeria, said Monday it processed nearly $ 40 million in remittances in 2020, up from just under $ 1 million the previous year.
Founder and CEO Atsu Davoh said deposits accounted for $ 18.87 million of the total volume, with payouts of $ 17.89 million. Internal peer-to-peer transfers made up $ 3.19 million of the total volume, he added.
Davoh has not disclosed how much of the total volume of bitcoin (BTC) -expenses. The CEO had not responded to questions sent to him during the press time.
Bitsika, which allows users to buy and sell bitcoin, and send or receive money in crypto or fiat, reported that revenue in 2020 increased from just $ 329 in 2019 to $ 1.03 million in 2020. That’s up 312,000% year-on-year -by-year.
To transact on the platform, users can deposit the Ghanaian cedi, Nigerian naira, US dollar or the CFA franc, a currency used by 14 former French colonies in West and Central Africa, into the Bitsika account via bank transfer, cash and mobile money. Bitcoin and the BUSD stablecoin can also be deposited.
Davoh said that about 96,000 people use the Bitsika app, with 95% of registered users in 2020. About 16,507 individual users made at least one successful transaction during the year. In total, 268,430 transactions were processed via the platform in 2020.
“These volumes are self-determined, autonomous [successful] transactions that users have initiated and executed themselves. We have not counted system transactions that users did not initiate, ”Davoh claimed in one wire on Twitter.
Going forward, Bitsika Africa plans to raise an undisclosed amount by 2021, “get our own licenses in all the markets we operate in, start our internship program for the design and tech communities and more features in our app to expand our reach in and beyond fintech. “
Cryptography-based remittances are booming in Africa, mainly because they are significantly cheaper and faster compared to fiat remittances. For example, it costs a fraction of a cent to send any amount over the Bitcoin Cash network. By way of comparison, according to a new World Bank, banks will charge an average of 10.89% of the amount transferred study.
In December, the yellow card of Nigeria disclosed that it processed $ 165 million in crypto transfers in the first 11 months of 2020.
What do you think of the crypto remittance business in Africa? Let us know in the comments below.
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