41% of Surveyed Crypto Investors are Newbies
41% of Surveyed Crypto Investors are Newbies 101
Source: AdobeStock/Pormezz

As many as 41.4% of cryptocurrency investors are crypto newbies, and 60% of them declare they have invested between USD 2,500 and USD 5,000 in crypto, according to the results of a recent survey by alternative investment firm Invictus Capital.

“Today’s investor resembles a 35-year-old German engineer named Günther. He derives his crypto investing information from YouTube, because he values learning how to generate high returns on his investment more than the idealism of cutting out the middleman,” the company said in the survey’s summary.

They are referring to the finding that the country with the highest percentage of surveyed alternative investors was Germany, at 14.1%, followed by the US and Spain, with 7.7% and 6.8%, respectively. The UK and Turkey were ranked fourth, both at 4.8%.

Furthermore, the survey indicates crypto investing is dominated by those aged 31-45, with 41.8%, while respondents aged 25 and below represent 25.1% of the total. Investors aged 25 to 30 hold a 22.9% share, while those aged 45 and above represent only 10.2% of the total.

The survey collected answers from some 3,473 respondents spread across a total of 60 countries. Ofir Sever, a PR spokesperson for Invictus Capital, told Cryptonews.com that the survey’s focus was to determine the modern investor profile, media consumption habits, crypto investing sources, as well as investing habits. The survey was carried out online last February and March, and it targeted investors.

Data was sourced from respondents with access to high-speed Internet, with a significant share of responses from the European Union’s member states and Asian countries, according to the spokesperson. Mobile users provided 94% of the responses, with desktop and tablet users generating a further 5.5% and 0.5%, respectively.

The average sum invested in crypto is reported to be USD 2,500 – USD 5,000, with 60% of those surveyed marking this option. 40% also reported investing USD 100 – USD 2,500, while more than 30% of the respondents have also made investments under USD 100.

With regards to the respondents’ professional profiles, engineers lead the way, at 12.5%, followed by tradesmen and lawyers, both at 9.6%, and finance professionals with 8.6%. Among the listed professions, IT is at the bottom of the list, with 1.6%.

The survey’s summary further stated that:

  • 68% said high returns remain a motivation;
  • 54% see crypto investing as a method to future proof their money;
  • 25% invest to mitigate dealing with middle men;
  • 50% noted high fees on exchanges, quality, and volume on exchanges as the biggest challenges they faced.

And speaking of exchanges, 69% of surveyed investors listed Binance as their exchange of choice, followed by Coinbase with 42.6%, and Kraken with 13%.

74% of the surveyed individuals chose YouTube as their preferred social channel.

Meanwhile, almost 40% percent of respondents said that they invest on a weekly basis, 34.3% said they invest monthly, and 7.7% said they invest once a year, Invictus Capital concluded.

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Learn more:

9% of Surveyed US Teens Claim to Have Traded in Crypto

50% of Inexperienced Investors to Hold Bitcoin Less Than a Year – Survey

18% of Asked Americans Bought Crypto, Most Know Only Bitcoin – Survey

Young Investors Drive Increased Aussie Bitcoin & Crypto Investments

Investors Still Prefer Stocks To Bitcoin, But BTC Wins Over Gold – Survey

More Professionals Trust Crypto Than Want To Get Paid In It – Survey

Crypto is Here to Stay, But There is a Twist, Survey Shows

Calm After the Strom: Bitcoin Reclaims $57K and Ethereum Above $2K (Market Watch)

Bitcoin dipped to its lowest point in over a week beneath $56,000 but has recovered some of the losses and currently stands above $57,000. Most altcoins have retraced even harder, including a double-digit price drop for the high-flying Ripple (XRP) and Ethereum briefly dropping beneath $2,000.

BTC’s Dominance Increases Despite the Drop

The past several days didn’t go all that well for the primary cryptocurrency. After failing to overcome $60,000 on numerous occasions, the asset reversed its trajectory and headed south.

Bitcoin reached $59,400 on Thursday, but its inability to sustain the upward momentum gave the bears an opportunity to push it down, which led to a $4,000 price drop in less than 48 hours.

Yesterday was an especially harmful trading day for BTC as it slumped to a low of about $55,500. This was the lowest price line since late March.

It’s worth noting that this retracement came as the South Korean kimchi premium normalized following a yearly high. As CryptoPotatoreported, such developments typically lead to a price drop.

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Nevertheless, the cryptocurrency bounced off and has regained more than $1,500 since its low. As of writing these lines, BTC stands just above $57,000.

On the positive side, the altcoin market has retraced even harder. Consequently, bitcoin’s market capitalization has recovered a little less than 1% and stands around 55% after dipping below that level yesterday.

Altcoins Deep in Red

The alternative coins were on a roll in the past week or so, registering new records. Ripple was among the best performers by adding 100% of value in that timeframe, reaching a 3-year high at over $1,10, and becoming the 4th largest cryptocurrency by market cap.

However, XRP has retraced with about 11% since yesterday, despite the company’s CEO claiming that the court hearing against the SEC went well for the payment processor.

Ethereum dropped below $2,000 but has jumped slightly and currently stands at $2,020. Binance Coin (-2%), Polkadot (-4%), Cardano (-6%), Uniswap (-2%), Litecoin (-5%), and Chainlink (-5%) are also in the red.

The situation with the lower- and mid-cap altcoins is significantly more volatile, as one could expect. Helium (-15%), Ontology (-14%), Qtum (-14%), NEM (-12%), EOS (-12%), Waves (-11%), and Bitcoin SV (-10%) have also retraced with double-digits.

On the other hand, WazurX (37%), 1inch (23%), Enjin Coin (23%), Harmony (21%), PancakeSwap (12%), Yearn.Finance (12%) and Conflux Network (10%) have gained the most since yesterday.

Signal Turns Into Noise With MobileCoin Integration
Signal Turns Into Noise With MobileCoin Integration 101
Source: Adobe/natanaelginting

Private messaging app Signal, which is also popular among crypto users, announced they’re launching payments using MobileCoin (MOB). But then things turned sour.

Per the April 6 announcement, this is a beta feature in Signal Beta, available to the United Kingdom folks for testing and feedback purposes. They plan to expand the beta following more feedback.

Privacy-focused payments network MobileCoin, which uses the Stellar (XLM) Consensus Protocol (SCP) to synchronize a ledger, is the first payments protocol for which Signal added support, enabling a MobileCoin wallet to be linked to the messaging app in order to send/receive funds, monitor balance, and review transaction history. It’s currently possible to convert to/from the MOB token on crypto derivatives exchange FTX, with other exchanges coming soon, they added.

Signal does not have access to a user’s balance, full transaction history, or funds, they claimed, while users can transfer their funds “at any time” if they want to change services. Per Business of Apps data, Signal had 40m users in January this year.

But the reaction to this rollout wasn’t entirely positive. Some claimed that Signal is “dabbling in shitcoin pump,” and others added that Signal “has alienated all Bitcoiners” with this move.

just setting up my twttr

— jack (@jack)

Other criticism includes comments that Signal creator Moxie Marlinspike is using Signal to pump his MOB bag. Marlinspike has also been a technical adviser for MobileCoin.

However, he told WIRED that neither he nor Signal own any MOB tokens.

In 2018, the project announced a fundraising round led by Binance Labs for USD 30m denominated in ethereum and bitcoin. Per TechChrunch, the payments network recently raised USD 11.35m in funding across two rounds from Future Ventures and General Catalyst.

Furthermore, Marlinspike is listed as Chief Technology Officer in the MobileCoin whitepaper.

And speaking of the whitepaper, developer Tadge Dryja said that he found a MobileCoin whitepaper, which is reportedly just a copy of the ‘Zero to Monero’ paper with a few changes.

Others made similar allegations, such as Riccardo Spagni, the former lead maintainer of Monero.

just setting up my twttr

— jack (@jack)

BlockTower Capital founder Ari Paul, however, commented that MobileCoin is not a fork of Monero, and that Spagni’s claims can’t be used as proof to the contrary as he’s “an altcoin [developer] criticizing competition.”

This was a part of a longer technical discussion and disagreement over the project’s specifics.

Per Marlinspike himself, “Signal chose to integrate MobileCoin because it has the most seamless user experience on mobile devices, requiring little storage space on the phone and needing only seconds for transactions to be confirmed.”

The market situation caught the eye of analysts and traders, including Eric Wall, the Chief Investment Officer of the crypto hedge fund outfit Arcane Assets, who likened MobileCoin to an inedible footlong sandwich filled with a bunch of random ingredients.

just setting up my twttr

— jack (@jack)

At 14:32 UTC, MOB trades at USD 40 and is down by 38% in a day, erasing almost all its weekly gains. The price is still up by 648% in a month.

BTC Slips As Coinbase Sees 15% User Growth At Best, Focuses on Altcoins
BTC Slips As Coinbase Sees 15% User Growth At Best, Focuses on Altcoins 101
Source: Coinbase

The price of the most popular cryptocurrency, bitcoin (BTC), corrected lower following the much-anticipated announcement of Coinbase‘s results.

At 05:02 UTC, BTC trades at USD 57,576 and is down by 2% in a day and a week.

The US-based major crypto exchange, that is preparing for a direct listing of its shares on April 14, said that, according to their best scenario, the annual average number of their monthly transacting users (MTUs) is expected to growth by 15% and reach 7m this year.

“This scenario assumes an increase in crypto market capitalization and moderate-to-high cryptoasset price volatility. In this scenario, we expect that MTUs continue to grow for the remainder of 2021,” the company said.

Other two scenarios assume that MTUs might drop to 5.5m or 4m from the current 6.1m.

The 5.5m scenario assumes flat crypto market capitalization and low-to-moderate cryptoasset price volatility. While MTUs might drop to 4m if there is a significant decrease in crypto market capitalization, similar to the decrease in 2018, and low levels of cryptoasset price volatility thereafter.

However, Alesia Haas, Chief Financial Officer of the company, said during an earnings call that given the strong performance of Q1 2021, it is likely that annual average net revenue per user will exceed their historical range.

“Over the last 2 years, we have seen average annual net revenue per MTU range between USD 34 – USD 45 per month, with the low end of this range occurring in 2019, a period of low Bitcoin price and low cryptoasset price volatility, and the high end of the range occurring in 2020, a period of rising Bitcoin price,” Haas said, adding that the company believes that “we entered the fourth price cycle in late 2020.” They last 2-4 years, per the CFO.

Meanwhile, Brian Armstrong, Founder and CEO of Coinbase, stressed during the call that while Bitcoin is critical to the cryptoeconomy, “it’s just the beginning” as they’re innovating and creating new products and services: “In recent years, we have expanded to be much more than a place to buy and sell bitcoin.”

“You’ll often hear the comparison of Bitcoin to “digital gold”. But crypto is bigger than just Bitcoin — and Coinbase will ultimately strive to support every legitimate cryptocurrency in the market,” Armstrong said.

In Q1 alone, the company added support for 18 new assets, bringing the number of assets supported on the platform to 108.

Coinbase also revealed the following estimations for the first quarter of 2021:

  • Verified users of 56m
  • Assets on platform of USD 223bn, representing 11.3% crypto asset market share (includes USD 122bn of assets on platform from institutions)
  • Trading Volume of USD 335bn
  • Total Revenue of approximately USD 1.8bn
  • Net Income of approximately USD 730m to USD 800m
  • Adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) of approximately USD 1.1bn
Does nuclear power have a future?

Why the controversy?

Right from the beginning of nuclear power – the first commercial nuclear reactor was built at Windscale in Cumbria in 1956 – it was controversial due to issues of safety, cost and the long-lived and toxic waste it produces. Even so, nuclear energy continued to expand globally until the 1990s, since when it has all but flatlined. Then, ten years ago last month, the disaster at Fukushima dealt its reputation a body blow. Within days Angela Merkel, previously a strong backer of nuclear energy, ordered all of Germany’s reactors to be phased out. In China the world’s biggest programme of new nuclear plants was put on hold.

How much energy does nuclear provide?

Globally, nuclear power produces around 10% of the world’s electricity, making it the second-biggest source of low-carbon energy after hydroelectric power. But that’s a sharp drop from a peak of 18% in the mid-1990s. According to figures collated by Bloomberg, there are 440 nuclear reactors currently in operation, with a combined electrical capacity of 392 gigawatts (GW). Another 50 are under construction, adding around 15% to current capacity. But that’s not even enough to make up for the 25% of reactors due to be shut down in advanced economies by 2025. Nuclear accounts for a bigger slice in advanced economies – 18% rather than 10%, according to the International Energy Agency (IEA), making it the largest low-carbon source of energy. In the UK, for example, about 20% of current electricity capacity is nuclear. However, half of that is due to be retired by 2025, and all but one of the existing fleet of nuclear reactors is due to be taken offstream in the next ten years. Meanwhile, only one new plant, the 3.2 GW Hinkley Point C in Somerset, is being built, replacing just under 40% of current nuclear capacity.

So it’s in decline?

In most of the world, yes, with advanced economies due to lose two-thirds of their nuclear capacity by 2040. Proponents of nuclear power (including the IEA) argue that it is vital to the overall drive for net-zero carbon emissions by mid-century. Despite the impressive growth of solar and wind power, says the IEA, the overall share of clean-energy sources in total electricity supply in 2018, at 36%, was the same as it was 20 years earlier due to the decline in nuclear since the 1980s. “Halting that slide will be vital to stepping up the pace of the decarbonisation of electricity supply,” it says. Advocates argue that nuclear-power plants aid electricity security by keeping power grids stable and limiting impacts from seasonal fluctuations from renewables, and cutting dependence on imported fuels. In other words, nuclear has a vital role to play as reliable “firm generating capacity” during the decarbonising shift to renewables, and winding nuclear down for misguided safety reasons would be folly.

But isn’t nuclear power dangerous?

The debate about that has long been a battle between those concerned more with climate-change warming (nuclear is carbon-free) and those worried about safety. For pro-nuclear environmentalists, the embrace of nuclear power by China and (to a lesser extent so far) India is cause for celebration. Advocates have long argued that, in terms of the number of people killed or harmed, nuclear power is far safer than other forms of power generation. Since its earliest days, nuclear accidents have killed one person every 14 years, proponents say. Indeed, in 2013, Pushker Kharecha and James Hansen calculated that, between 1971 and 2009, nuclear power saved the lives of 1.84 million worldwide thanks to reductions in air pollution.

But what about Fukushima?

The earthquake and tsunami that flooded Japan’s east coast ten years ago killed about 18,500 people. But the destruction of the three reactors of the Fukushima plant – the worst nuclear disaster since Chernobyl in 1986 – killed only one person as a result of radiation exposure. Moreover, a report on Fukushima released last month by the United Nations Scientific Committee on the Effects of Atomic Radiation (UNSCEAR) concluded that “no adverse health effects among Fukushima residents have been documented that could be directly attributed to radiation exposure”. Future consequences for health “are unlikely to be discernible” and there was “no credible evidence of excess congenital anomalies, stillbirths, pre-term deliveries or low birthweights related to radiation exposure”.

And Chernobyl?

The worst ever nuclear disaster was the result of human errors so “bizarre” that the scenario would have been “thought overambitious by a genuine saboteur”, says Dominic Lawson in The Sunday Times. The Soviet-era accident, which blew a 1,000-ton concrete reactor shield away in a mighty explosion, was the result of an insane experiment in which one of the reactors was made to run at a dangerously low level, the cooling unit disconnected and the safety mechanism switched off. It was feared deaths would run into the hundreds of thousands. In fact, “apart from the heroic Chernobyl emergency team, fewer than 100 deaths have been attributable to increased radiation – and no known birth deformities”, according to UNSCEAR.

So nuclear is safe?

It’s far safer than most people realise, says The Economist. China’s post-Fukushima pause on nuclear didn’t last long: it soon accelerated again and by 2019 produced four times as much as in 2011, with more expansion planned. There’s a strong case for countries such as Britain to follow China’s lead and import its technology. Moreover, modern smaller reactors with lower unit costs are a promising development that can make nuclear cheaper and more flexible. Nuclear power has its drawbacks, but to hasten its decline “is wilfully to hobble the world in the greatest environmental struggle of all”. The lesson of Fukushima is “not to eschew nuclear power, it is to use it wisely”.

Private equity funds: get strong returns from these bargain investment trusts

Fund-of-funds PIN trades on a near 15% discount despite having cleaned up an unwieldy share structure a couple of years ago and exited a long tail of small holdings in the portfolio. Investment performance over all periods, including back to inception in 1987, is a remarkably consistent 12% per year. Given that most of the portfolio was last valued at the end of September, there is sure to be more to come. Despite the absence of a dividend, the shares are cheap.

Intermediate Capital took over management of ICGT five years ago, giving the fund access to a broader range of private-equity contacts and expertise and enabling nearly half the portfolio to be internally managed. This part of the portfolio has returned 19% per year over five years while the third party funds have returned 14%, promising continued improvement as the internally managed portfolio grows. This progress should bring down the discount from a heady 18%, as it did for Apax.

NB Private Equity (LSE: NBPE) managed a 12-month return of 21% but still trades on a discount of 25% to estimated NAV, reckons analyst Chris Brown at JPM Cazenove, making it “excellent value”. He estimates the discount for Harbourvest (LSE: HVPE) to be 19%, which looks anomalous given its excellent record (a return of 100% over five years) and high exposure to the tech sector (29%). The record of Princess Private Equity (LSE: PEY) is even better, 106% over five years, but Brown rates it as only a “hold” as its discount of 16% is “fair relative to peers”. In absolute terms, it still looks attractive.

Perhaps the biggest bargain is Oakley Capital (LSE: OCI), which is trading on a 26% discount after an 18% return in 2020 and 114% over five years. Performance is held back by the 31% of the portfolio in cash, but this is matched more than twice over by commitments to invest in Oakley funds. The portfolio looks modestly valued given its focus on the popular technology and education sectors. The third leg of its investment strategy, consumer brands, provides recovery prospects once the coronavirus crisis passes – notably via Time Out, the well-known publisher of entertainment and nightlife guides, which has been expanding into food centres and events in cities around the world.

“I am very positive about the outlook for private equity and believe that it will continue to out-perform public equities,” says Gardey. “Long-term ownership has provided superior governance and there have been fewer disasters in the last ten years.” This confidence is reflected across the sector, which makes the cheapness of most of the listed trusts an anomaly. Perhaps, as one cynic says, “the brokers are too busy earning fees from issuing equity in anything renewable to pay any attention to listed private equity”.

Cryptofully Enables Bitcoin to Naira Money Transfers Using Peer-to-Peer Network

In the last couple of years, we have heard so many things about Bitcoin. Investors call it digital gold, an investment, a store of value, the future of our currency, the revolution of payment, and so forth. The best indicator for these attributes is the current price of Bitcoin, a whopping $50,000. No wonder why people are rushing to buy bitcoin in South Africa.

Buying bitcoin for some people can be intimidating. The thought of how to go about it, where to buy it, and the fear of being scammed are some of the challenges newbies face.

You don’t have to worry about any of the aforementioned challenges. In this article, we will be digging into the several options you have to buy bitcoin in South Africa.

There are presently five major ways to exchange Rand for bitcoin. We will look at the options one after the other and review their advantages and disadvantages.

1. P2P Exchanges

The first way to buy BTC is through a P2P Exchange. It is the most common method people use to buy bitcoin. Peer-to-Peer exchanges are platforms that bridge the gap between buyers and sellers by providing a marketplace for both buyer and seller to meet and make transactions.

The most popular P2P platform for trading bitcoin in South Africa is Remitano. On Remitano, you set your price rate and the amount of bitcoin you want to buy and wait for interested sellers, while the Remitano Escrow system ensures that both parties fulfil their end of the trade. The transaction fees are usually very low for P2P and range from 0 to 1%. Remitano P2P is suitable for newbies and expert traders, thanks to the unique and friendly user interface.

Pros

  1. The transaction rates are usually very low.
  2. They are simple to use.
  3. They are a decentralized market, it makes use of software to connect buyers and sellers.
  4. It offers good liquidity, and it is a nice option to easily change your South African rand to bitcoin.

Cons

  1. Most require personal information and offer very little anonymity.
  2. Finding buyers and sellers can sometimes be stressful especially when you are buying a small amount.

2. Traditional Exchanges

The second way to buy bitcoin in South Africa is the traditional crypto exchanges. They are digital market places where people buy and sell bitcoin. Some examples of exchanges are the Binance, Huobi Global, Lykke, F-change, etc. in these platforms the price of bitcoin is fixed.

These types of exchanges are also called spot exchanges. They allow users to trade one cryptocurrency for another, buying and selling coins and exchanging fiat into crypto assets.

On spot exchanges, traders use to trade other crypto assets against BTC to profit from the volatile nature of the crypto market. Spot exchanges are more suitable for traders and may seem intimidating for newbies. Since they allow users to also buy bitcoin with fiat, the process will be intuitive. Moreover, there is nothing hard about crypto trading, a little research will teach you basic things about the craft.

Pro

a) It is easy to use.

b) Some require little information from you.

c) They allow high varieties of fiat, almost all currency is available.

Cons

a) Most are usually slow.

b) Exchanges rates are sometimes high.

3. Bitcoin ATMs

Bitcoin ATM is the third method people use to buy bitcoin. South Africa has 7 bitcoin ATMs, which is the highest in Africa. BATM is undisputedly one of the easiest and fastest ways to buy Bitcoin.

Most of the BATMs in South Africa only allow users to buy bitcoin with fiat. You can convert your Rand to BTC using these ATMs. Transaction fees on BTAMs are on the high side with an average fee of 8-14% per transaction.

Also, you can withdraw up to 5000 rands without ID verification. KYC verification will allow you to buy bitcoin worth 100 million SA rands at a go.

Pros

  1. Fast and time-saving.
  2. Easy and very efficient.

Cons

  1. Transaction fees are usually very high.
  2. They are not available everywhere.

4. Brokers

Brokers are like our conventional retailers that buy goods in bulk and sell to people in bits or units. Bitcoin brokers buy bitcoin from exchanges in large amounts and sell to interested individuals. This method is mostly preferred by people who aren’t technology savvy. All you do is pay an agreed amount and give the broker your wallet address so that he can transfer the agreed bitcoin to you.

Pros

  1. The transaction is mostly physical.
  2. Highly efficient.

Cons

  1. Brokers set the price and rate.
  2. There’s a high tendency of falling into the hands of scammers.

5. Debit/Credit Cards

The card is the last we will be looking at. It is a widely used way to buy bitcoin. It is available across all countries and regions of the world.

The cards used in this method include debit cards, credit cards, vouchers, and gift cards, etc. They are very fast and hassle-free. Platforms like Binance, Remitano, Huobi, and so many exchanges integrate cards to their platforms. However, without using any other platforms, you can’t buy BTC directly into your wallet with those cards.

Pros

  1. Requires no stress.
  2. Accessible to everyone.
  3. It is available on many platforms

Cons

  1. High transaction rates.

Conclusion

The adoption of bitcoin is increasing and accessibility to cryptocurrency is on the rise. It is now easier to buy bitcoin, own it, and sell it in South Africa than it was 5 years back. These are the ways you can buy bitcoin presently. You have to select your choice based on safety, ease of use, and transaction fees.

However, make sure you conduct extensive research on any platform you plan to buy bitcoin to avoid falling for scammers.

Disclaimer: This is a sponsored post. Readers should do their own due diligence before taking any actions related to any company, product, or service mentioned in this article. BitcoinAfrica.io is not responsible, directly or indirectly, for any loss or damage caused by or in connection with the use of or reliance on any content, product, or service mentioned in this post.
5 Ways to Buy Bitcoin Quickly and Easily as a South African

In the last couple of years, we have heard so many things about Bitcoin. Investors call it digital gold, an investment, a store of value, the future of our currency, the revolution of payment, and so forth. The best indicator for these attributes is the current price of Bitcoin, a whopping $50,000. No wonder why people are rushing to buy bitcoin in South Africa.

Buying bitcoin for some people can be intimidating. The thought of how to go about it, where to buy it, and the fear of being scammed are some of the challenges newbies face.

You don’t have to worry about any of the aforementioned challenges. In this article, we will be digging into the several options you have to buy bitcoin in South Africa.

There are presently five major ways to exchange Rand for bitcoin. We will look at the options one after the other and review their advantages and disadvantages.

1. P2P Exchanges

The first way to buy BTC is through a P2P Exchange. It is the most common method people use to buy bitcoin. Peer-to-Peer exchanges are platforms that bridge the gap between buyers and sellers by providing a marketplace for both buyer and seller to meet and make transactions.

The most popular P2P platform for trading bitcoin in South Africa is Remitano. On Remitano, you set your price rate and the amount of bitcoin you want to buy and wait for interested sellers, while the Remitano Escrow system ensures that both parties fulfil their end of the trade. The transaction fees are usually very low for P2P and range from 0 to 1%. Remitano P2P is suitable for newbies and expert traders, thanks to the unique and friendly user interface.

Pros

  1. The transaction rates are usually very low.
  2. They are simple to use.
  3. They are a decentralized market, it makes use of software to connect buyers and sellers.
  4. It offers good liquidity, and it is a nice option to easily change your South African rand to bitcoin.

Cons

  1. Most require personal information and offer very little anonymity.
  2. Finding buyers and sellers can sometimes be stressful especially when you are buying a small amount.

2. Traditional Exchanges

The second way to buy bitcoin in South Africa is the traditional crypto exchanges. They are digital market places where people buy and sell bitcoin. Some examples of exchanges are the Binance, Huobi Global, Lykke, F-change, etc. in these platforms the price of bitcoin is fixed.

These types of exchanges are also called spot exchanges. They allow users to trade one cryptocurrency for another, buying and selling coins and exchanging fiat into crypto assets.

On spot exchanges, traders use to trade other crypto assets against BTC to profit from the volatile nature of the crypto market. Spot exchanges are more suitable for traders and may seem intimidating for newbies. Since they allow users to also buy bitcoin with fiat, the process will be intuitive. Moreover, there is nothing hard about crypto trading, a little research will teach you basic things about the craft.

Pro

a) It is easy to use.

b) Some require little information from you.

c) They allow high varieties of fiat, almost all currency is available.

Cons

a) Most are usually slow.

b) Exchanges rates are sometimes high.

3. Bitcoin ATMs

Bitcoin ATM is the third method people use to buy bitcoin. South Africa has 7 bitcoin ATMs, which is the highest in Africa. BATM is undisputedly one of the easiest and fastest ways to buy Bitcoin.

Most of the BATMs in South Africa only allow users to buy bitcoin with fiat. You can convert your Rand to BTC using these ATMs. Transaction fees on BTAMs are on the high side with an average fee of 8-14% per transaction.

Also, you can withdraw up to 5000 rands without ID verification. KYC verification will allow you to buy bitcoin worth 100 million SA rands at a go.

Pros

  1. Fast and time-saving.
  2. Easy and very efficient.

Cons

  1. Transaction fees are usually very high.
  2. They are not available everywhere.

4. Brokers

Brokers are like our conventional retailers that buy goods in bulk and sell to people in bits or units. Bitcoin brokers buy bitcoin from exchanges in large amounts and sell to interested individuals. This method is mostly preferred by people who aren’t technology savvy. All you do is pay an agreed amount and give the broker your wallet address so that he can transfer the agreed bitcoin to you.

Pros

  1. The transaction is mostly physical.
  2. Highly efficient.

Cons

  1. Brokers set the price and rate.
  2. There’s a high tendency of falling into the hands of scammers.

5. Debit/Credit Cards

The card is the last we will be looking at. It is a widely used way to buy bitcoin. It is available across all countries and regions of the world.

The cards used in this method include debit cards, credit cards, vouchers, and gift cards, etc. They are very fast and hassle-free. Platforms like Binance, Remitano, Huobi, and so many exchanges integrate cards to their platforms. However, without using any other platforms, you can’t buy BTC directly into your wallet with those cards.

Pros

  1. Requires no stress.
  2. Accessible to everyone.
  3. It is available on many platforms

Cons

  1. High transaction rates.

Conclusion

The adoption of bitcoin is increasing and accessibility to cryptocurrency is on the rise. It is now easier to buy bitcoin, own it, and sell it in South Africa than it was 5 years back. These are the ways you can buy bitcoin presently. You have to select your choice based on safety, ease of use, and transaction fees.

However, make sure you conduct extensive research on any platform you plan to buy bitcoin to avoid falling for scammers.

Disclaimer: This is a sponsored post. Readers should do their own due diligence before taking any actions related to any company, product, or service mentioned in this article. BitcoinAfrica.io is not responsible, directly or indirectly, for any loss or damage caused by or in connection with the use of or reliance on any content, product, or service mentioned in this post.
The leader of the Central Bank of Korea said cryptocurrencies have no intrinsic value

Bank of Korea (BOK) Governor Lee Ju-yeol stated that Bitcoin and other cryptocurrencies have no intrinsic value while predicting high price volatility will remain.

According to Lee, Bitcoin and other major cryptocurrencies lack intrinsic value. However, he believes that all assets will continue to have significant price movements.

Price increase due to institutional investors supporting BTC?

The governor said cryptocurrencies, including Bitcoin, have no intrinsic value. In a recent news report, Lee pointed out the volatile nature of the digital asset industry.

“Cryptocurrency assets have no intrinsic value,” BOK Governor Lee Ju-yeol said at a parliamentary session on February 23.

The newsletter quoted lawmakers asking the BOK head if BTC’s recent bull run was temporary.

Ju-yeol adds:

“It is difficult to predict the price, but its price will be very volatile.”

Lee has also stated that Bitcoin’s recent rally, followed by other key digital assets, could be driven by many factors. Among them, Elon Musk’s Tesla invests $ 1.5 billion. He stressed that the price escalation could be due to institutional investors continuing to use Bitcoin as a precaution.

In addition, he noted that BOK should not buy bonds directly issued by the government of this country. Otherwise, this would raise fears about fiscal stability and undermine confidence in central banks.

Does Bitcoin’s volatility bring some of the more difficult times for investors?

The volatile nature of the leading cryptocurrency poses quite a bit of trouble for both retail and institutional investors. This particular characteristic is a hindrance to many, leading to some hesitation in whether or not to allocate capital to it.

The price of BTC has risen sharply over the past few months, marking an all-time high. Just a few days ago, it soared above $ 58,000, dragging other altcoins like ETH behind for a while.

However, almost immediately after the growth, BTC corrected significantly, stabilizing around $ 50,000 at press time. As a result, the cryptocurrency market cap has lost more than $ 300 billion in 2 days.

Interestingly, JPMorgan strategists recently said that Bitcoin’s illiquidity could cause more problems. Analysts from the US multinational banking organization argued that BTC was lacking liquidity, warning investors that it could fall in price further.