Jack Dorsey-Supported African Crypto Startup Hits $1M Volume
Bit Sika, a Jack Dorsey-approved crypto remittance startup from Africa, has already hit $1 million in transactions after launching only four months ago.
Jack Dorsey’s African Crypto Vision
It is well-known that Twitter CEO, Jack Dorsey, firmly believes that cryptocurrencies have a major potential to change the economic situation in Africa. In late 2019 Bitcoinist reported, he even went on a tour through several African countries, talking to their entrepreneurs, and making plans to return for as long as six months in mid-2020.
Now, according to some reports, his belief that crypto could be tremendously helpful to African citizens seems to be entirely accurate. The reports in question concern a crypto remittance app known as Bit Sika.
The app is a startup that has only been around for about four months at this point, and it allows users to send and/or spend money in Nigeria and Ghana. However, the app made headlines due to major use, which allowed it to reach a milestone of $1 million in transactions within the past four months.
— $atsu (@atsudavoh) January 2, 2020
The development of Bit Sika
According to statistics, the average value of each transaction on the platform is approximately $200. Meanwhile, the app itself allows users to send crypto and fiat currencies alike, and move money from phone to phone. However, while the app does use fiat currencies as well, it is primarily based on crypto. In fact, its fiat-to-fiat remittance is actually backed by cryptocurrency, but only in the background.
The platform originally started out as a charity app, which would allow people to send donations from abroad. Those donations would then be delivered to African citizens who needed them, with the entire process being transparent, cheap, and simple.
The project’s co-founder, Atsu, talked about the early days of the app, stating that it took him 4-5 weeks to create the first version of it. He and his team discussed the app and its purpose, eventually deciding to make it as user-friendly as possible, hoping that it will find its way to everyday use.
The app eventually evolved into what it is right now, and thanks to the $1 million in transactions, the developers are making plans to expand Bit Sika into other African countries.
Bit Sika’s plans for the future
As mentioned, Bit Sika received a lot of support during its short history. While Jack Dorsey’s support remained purely a moral one, there were others who supported it through investments, as well. It is worthy of note that the project became the first non-Nigerian investment that was made by a company called Microtransaction.
The firm explained its decision to invest in Bit Sika by saying that the project made cross-border payments negligible in cost, while also making them auditable and instant. As such, the platform can help millions of Africans, including individuals and businesses alike.
It is also worth noting that the African startup previously participated in Binance’s incubation program.
Also, the project is now working on its expansion into the francophone market, as the app became available in Ivory Coast, Mauritius, Mali, Senega, Gabon, and Cameroon, in addition to the countries where it was already active.
Happy to say that @BitSikaAfrica has expanded to money transfer between Cameroon, Gabon, Senegal, Ivory Coast, Mali and Mauritius (alongside Ghana and Nigeria). These countries will be available on the app in a few days, later this month. Have to improve my french now.👇 pic.twitter.com/zKD6kheEsq
— $atsu (@atsudavoh) January 8, 2020
In the future, it is also planning on delivering its own, Binance-based stablecoin — African Stablecoin (ABCD), which it announced in late 2019. The coin is expected to see a launch in January 2020.
Do you agree with the idea of cryptocurrencies transforming Africa into a more prosperous region? Let us know your thoughts in the comments below.
Image via Shutterstock, Twitter @atsudavoh