After four months of anticipation, Binance Uganda will officially open up trading by accepting deposits and withdrawals of Ugandan Shillings on Wednesday, October 17, 2018. According to the press release, Binance Uganda will also begin standard Know Your Customer (KYC) procedures.
Binance Uganda Opens up Trading
According to the official statement, Binance announced the launch of Binance Uganda four months ago, in June 2018. As promised, Binance Uganda users, during the first month of trading, will have zero trading fees. The cryptocurrency exchange will support the trading of Ugandan Shillings (UGX) with Bitcoin (BTC) and Ethereum (ETH), with the addition of more trading pairs in the future.
In terms of the technical capabilities, Binance Uganda can undergo 1.4 million transactions per second. They also have 24/7 live customer support. Not only is Binance Uganda one of the first Binance-based cryptocurrency exchanges in Africa, but it’s also Binance’s first crypto-fiat exchange.
“We are extremely proud to officially launch our first fiat-crypto exchange in Uganda,“ said Wei Zhou, the CFO of Binance.
“We have been diligently preparing for this exchange with our local partners since our team first visited Uganda in April 2018. This is only the first step in our efforts to use blockchain technology to support sustainable economic development in Africa, and we look forward to bringing more innovations to the region.”
Binance Keen to Transform Uganda’s Economy
While the land-locked East African country may not be a country of choice for many cryptocurrency exchange founders, Changepeng Zhao, the CEO and founder of Binance, sees great potential in Uganda’s people and economy.
Earlier this year, in April 2018, Zhao visited the Ugandan President, worked with the local blockchain community, and even partnered with Crypto Savanna, a Ugandan blockchain startup. As seen in his Tweet, Binance is keen to become apart of Uganda’s economic transformation by providing investment opportunities and bringing in jobs for the Ugandan youth.
The Blockchain Association of Uganda quoted Zhao as he mentioned that:
“Binance is tailor-making partnerships according to the environment. We want to understand the landscape and grow our understanding of the market.”
With a population of more than 44 million people, while Uganda is considered one of the world’s poorest countries, it is, however, recognized as a first-mover when it comes to the adoption of blockchain technology. The African country is currently booming with blockchain associations, communities, conferences, and is also well supported by the Ugandan Government and their regulators.
Zhao, however, has grander plans for Binance. Binance Uganda is just one cryptocurrency exchange in Binance’s plan. The cryptocurrency exchange giant plans to launch fiat-crypto exchanges in a number of different countries including Singapore, Malta, Lichtenstein, and plans to expand and continue further development in Africa.
Africa, the Next Frontier for the Cryptocurrency Industry
According to a detailed blog post published on August 31, 2018, by Benjamin Rameau, the director of Binance Labs, a social impact fund to incubate and invest in blockchain and cryptocurrency projects, expressed great confidence in Africa as he believes it will become the next frontier for the cryptocurrency industry. Binance has therefore invested heavily in Africa as the continent is a key component of Binance’s expansion strategy. He believes that an investment in Africa today could be one of the best forms of trade for the century.
While Africa bears the scars from colonialism, civil war, and dictatorial governance in the last few centuries, Rameau noted that Africa could very much surprise the world with their capabilities and potential. The cryptocurrency industry can create a robust financial system, which will become the backbone to a growing economy.
In Sub-Saharan Africa, only 43 percent of people above the age of 15 own a bank account, a significantly lower number than the global average of 69 percent. The cryptocurrency and blockchain industry can provide Africans with greater access to financial services to save, borrow, loan, and lend. The renewed optimization will kickstart the modernization of African economies.
However, it’s not just the investors that are excited, according to Forbes, Africans are searching for new ways to become more involved with the cryptocurrency industry. The top three nations include South Africa, Nigeria, and Ghana. While African nations are considered the world’s poorest and most corrupt countries, Africans may also benefit the most when it comes to cryptocurrencies since it can potentially address the plethora of problems plaguing African fiat currencies and economies.