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Forbes
01-08-2025
- Business
- Forbes
If You Use Venmo Or PayPal, Thank African Fintech
When most Americans think of mobile money, they think of Venmo, Cash App, or PayPal. But the real pioneers of this space aren't in Silicon Valley, they're in Nairobi, Lagos, and Johannesburg. In 2007, Kenya introduced M-PESA, a groundbreaking mobile money service that revolutionized how people store, send, and use money without access to traditional banking. What started as a local solution to an infrastructure problem has since become one of Africa's most valuable exports: a blueprint for mobile finance innovation across the world. Today, mobile money is one of the continent's greatest contributions to the global financial system. And while much of the world is just catching up, Africa continues to lead—with lessons we'd be wise to learn. Innovation Born from Necessity Africa's fintech boom isn't just a story of flashy apps or hype-driven crypto ventures. It's rooted in necessity. Traditional banking systems are inaccessible to millions across the continent. In their place, mobile money and decentralized finance (DeFi) have emerged as essential tools for survival, savings, and resilience. According to a 2024 study by Ecofin Agency, 73% of Nigerians and 68% of South Africans have owned or transacted in cryptocurrency. This staggering figure is not driven by speculation, but by the need for more inclusive financial alternatives. When formal systems fall short, people innovate. Africa is proving that ingenuity and impact can thrive even in the absence of infrastructure. Africa Isn't Catching Up, It's Leading In April, I attended the Africa Fintech Summit in Washington, D.C.: a gathering of some of the most dynamic and visionary minds in global finance. If there's one thing that was immediately clear, it was that African fintech is no longer trying to catch up, it's defining the future. In countries like Nigeria, Senegal, South Africa, and Kenya, fintech isn't about convenience. Instead, it's about creating inclusive financial systems that serve the continent's young, entrepreneurial, and often underbanked population. Throughout the summit, I witnessed conversations about inclusive financial services that tackle inequality at its roots, and strategic partnerships being made to strengthen global investment corridors. Every person in the room had a laser focus on how fintech can meet the needs of a rising generation that is hungry for opportunity. What I learned is that these innovators aren't just coding; they're solving complex, real-world problems at scale. But There's a Missing Piece: Women Despite this promising future, there's a blind spot in African fintech—and global fintech, for that matter. Most fintech founders and developers are men. And while gender diversity in leadership is crucial, what's often overlooked is the role of women as consumers of financial technology. Women manage household budgets, lead community savings groups, and support extended families. Yet fintech products are rarely designed with women's financial behaviors, risk tolerance, or digital access in mind. Without intentional, gender-inclusive design, we risk building tools that multiply the very inequities we're trying to solve. We need a fintech revolution that reflects how women save, spend, and invest, and accounts for the systemic barriers they face in accessing and using digital tools. This isn't just good design, it's smart economics. Where Are the NGOs? One thing that struck me at the summit was the absence of NGOs in the room. If NGOs want to stay relevant in the fight for financial inclusion, we must stop viewing fintech as someone else's domain. Innovation is happening with or without us. Our role is to ensure that this innovation works for the people we serve, not against them. NGOs have a front-row seat to the challenges and the creativity of low-income communities. We bring hard-earned insights about what real inclusion looks like. But unless we show up, partner, and participate, those insights won't make it into the next wave of financial tools, and many people will be left behind. A Call to Action African fintech is moving fast. If we're not careful, it will race ahead without addressing the needs of the poorest and most excluded, particularly women. The development sector can't afford to be passive. We must build intentional partnerships with fintech leaders, advocate for inclusive product design, and push for systems that create economic agency and dignity. When fintech is designed to serve everyone, it doesn't just transform individual lives; it reshapes the future of finance itself.
The Star
10-06-2025
- Business
- The Star
Bitcoin is introduced into Africa's largest slum, with risks and rewards
KIBERA: Dotting the roadside in what is widely considered Africa's largest urban slum are typical stands selling vegetables. What isn't typical is their acceptance of bitcoin as a form of payment. Around 200 people use bitcoin in Soweto West, a neighborhood of the Kibera slum in Kenya's capital. It's part of an initiative to extend financial services to one of the country's poorest and most under-banked areas. Its promoters say the adoption of crypto fits with the ideals of bitcoin as an accessible, democratic technology – but experts say it also has major risks. Bitcoin came to Soweto West via AfriBit Africa, a Kenyan fintech company, through its nonprofit initiative to improve financial inclusion. "In many cases, people in Kibera do not have an opportunity to secure their lives with normal savings,' said AfriBit Africa co-founder Ronnie Mdawida, a former community worker. With bitcoin, "they do not need documentation to have a bank account … that gives them the foundation for financial freedom.' Bitcoin, the first and largest crypto, was created in 2009 in the wake of the global financial crisis as a decentralised digital asset that could act as an alternative method of payment. The asset has found more popular use as a store of value, like a digital form of gold. Bitcoin has attracted enthusiastic supporters as prices have climbed almost 1,000% in the last five years. But its volatility and lack of regulation are concerns. AfriBit Africa introduced bitcoin into Soweto West in early 2022 through crypto-denominated grants to local garbage collectors, who are often funded by nonprofits. The groups are made up of dozens of young people, who Mdawida says are more likely to be open to new tech. After gathering on a Sunday to collect trash, garbage collectors are paid a few dollars' worth of bitcoin. AfriBit Africa estimates that it has put some US$10,000 (RM 42,304) into the community, with garbage collectors acting as the main agents of spreading bitcoin in Soweto West. In Kibera, many people earn about a dollar a day. Now a small number of other residents hold bitcoin, and some merchants and motorcycle taxis accept payments in crypto. Damiano Magak, 23, a garbage collector and food seller, said he prefers bitcoin to M-PESA, the ubiquitous mobile money platform in Kenya, because M-PESA transaction costs are higher and the network can be slower. There are no fees for M-PESA transactions between individuals or businesses up to 100 Kenyan shillings (78 cents), but after that the fees increase with transaction size. Fees for the Lightning bitcoin network where transactions take place are free if people use a platform that AfriBit Africa introduced into the community. Onesmus Many, 30, another garbage collector, said he feels safer with his money in a bitcoin wallet instead of in cash because of crime. Some merchants have found benefits to accepting crypto, including Dotea Anyim. She said around 10% of customers at her vegetable stand pay in bitcoin. "I like it because it is cheap and fast and doesn't have any transaction costs,' she says. "When people pay using bitcoin, I save that money and use cash to restock vegetables.' The possibility that crypto prices could keep rising also appeals to residents of Soweto West. Magak and Many said they now have around 70% to 80% of their net worth in bitcoin, a far higher level of exposure than most people. "It is my worth and I'm risking it in bitcoin,' Magak said. That concerns Ali Hussein Kassim, a fintech entrepreneur and chair of the FinTech Alliance in Kenya. "In an extremely volatile asset like bitcoin, it's overexposure. I can't afford to lose 80% of my wealth. How about a guy in Kibera?' Kassim said. "You are exposing a vulnerable community to an ecosystem and to financial services that they can't necessarily afford to play in.' Kassim acknowledged the potential benefits that digital assets could bring, particularly in facilitating cheaper cross-border payments like remittances, but failed to see the benefit in Kibera. Bitcoin's volatility could negate the benefits of cheaper transaction fees, Kassim said, and bitcoin does not have the same protections as other financial services due to a lack of regulation. Mdawida disagreed, calling bitcoin's unregulated nature a benefit. "We don't shy away from the risks involved,' the AfriBit Africa co-founder said, noting the group's investments in bitcoin education in Kibera, including financial literacy training and crypto courses in the community. Efforts to introduce bitcoin into developing countries have faced challenges. Bitcoin was adopted as legal tender in El Salvador and Central African Republic but both countries have reversed their decision. In Kenya, the digital asset sector has faced legal and regulatory challenges, including crackdowns on cryptocurrency giveaways. This small project, focusing only on Soweto West, has been allowed. "On my phone I put notifications on when bitcoin rises … and it's all smiles," Magak said. "Whenever it fluctuates up and down, I know at the end of the day it will just rise.' – AP
Arab Times
09-06-2025
- Business
- Arab Times
Bitcoin introduced into Africa's largest slum, with risks and rewards
KIBERA, Kenya, June 9, (AP): Dotting the roadside in what is widely considered Africa's largest urban slum are typical stands selling vegetables. What isn't typical is their acceptance of bitcoin as a form of payment. Around 200 people use bitcoin in Soweto West, a neighborhood of the Kibera slum in Kenya 's capital. It's part of an initiative to extend financial services to one of the country's poorest and most under-banked areas. Its promoters say the adoption of crypto fits with the ideals of bitcoin as an accessible, democratic technology - but experts say it also has major risks. Bitcoin came to Soweto West via AfriBit Africa, a Kenyan fintech company, through its nonprofit initiative to improve financial inclusion. "In many cases, people in Kibera do not have an opportunity to secure their lives with normal savings,' said AfriBit Africa co-founder Ronnie Mdawida, a former community worker. With bitcoin, "they do not need documentation to have a bank account … that gives them the foundation for financial freedom.' Bitcoin, the first and largest crypto, was created in 2009 in the wake of the global financial crisis as a decentralized digital asset that could act as an alternative method of payment. The asset has found more popular use as a store of value, like a digital form of gold. Bitcoin has attracted enthusiastic supporters as prices have climbed almost 1,000% in the last five years. But its volatility and lack of regulation are concerns. AfriBit Africa introduced bitcoin into Soweto West in early 2022 through crypto-denominated grants to local garbage collectors, who are often funded by nonprofits. The groups are made up of dozens of young people, who Mdawida says are more likely to be open to new tech. After gathering on a Sunday to collect trash, garbage collectors are paid a few dollars' worth of bitcoin. AfriBit Africa estimates that it has put some $10,000 into the community, with garbage collectors acting as the main agents of spreading bitcoin in Soweto West. In Kibera, many people earn about a dollar a day. Now a small number of other residents hold bitcoin, and some merchants and motorcycle taxis accept payments in crypto. Damiano Magak, 23, a garbage collector and food seller, said he prefers bitcoin to M-PESA, the ubiquitous mobile money platform in Kenya, because M-PESA transaction costs are higher and the network can be slower.
09-06-2025
- Business
Bitcoin is introduced into Africa's largest slum, with risks and rewards
KIBERA, Kenya -- Dotting the roadside in what is widely considered Africa's largest urban slum are typical stands selling vegetables. What isn't typical is their acceptance of bitcoin as a form of payment. Around 200 people use bitcoin in Soweto West, a neighborhood of the Kibera slum in Kenya 's capital. It's part of an initiative to extend financial services to one of the country's poorest and most under-banked areas. Its promoters say the adoption of crypto fits with the ideals of bitcoin as an accessible, democratic technology — but experts say it also has major risks. Bitcoin came to Soweto West via AfriBit Africa, a Kenyan fintech company, through its nonprofit initiative to improve financial inclusion. 'In many cases, people in Kibera do not have an opportunity to secure their lives with normal savings,' said AfriBit Africa co-founder Ronnie Mdawida, a former community worker. With bitcoin, "they do not need documentation to have a bank account … that gives them the foundation for financial freedom.' Bitcoin, the first and largest crypto, was created in 2009 in the wake of the global financial crisis as a decentralized digital asset that could act as an alternative method of payment. The asset has found more popular use as a store of value, like a digital form of gold. Bitcoin has attracted enthusiastic supporters as prices have climbed almost 1,000% in the last five years. But its volatility and lack of regulation are concerns. AfriBit Africa introduced bitcoin into Soweto West in early 2022 through crypto-denominated grants to local garbage collectors, who are often funded by nonprofits. The groups are made up of dozens of young people, who Mdawida says are more likely to be open to new tech. After gathering on a Sunday to collect trash, garbage collectors are paid a few dollars' worth of bitcoin. AfriBit Africa estimates that it has put some $10,000 into the community, with garbage collectors acting as the main agents of spreading bitcoin in Soweto West. In Kibera, many people earn about a dollar a day. Now a small number of other residents hold bitcoin, and some merchants and motorcycle taxis accept payments in crypto. Damiano Magak, 23, a garbage collector and food seller, said he prefers bitcoin to M-PESA, the ubiquitous mobile money platform in Kenya, because M-PESA transaction costs are higher and the network can be slower. There are no fees for M-PESA transactions between individuals or businesses up to 100 Kenyan shillings (78 cents), but after that the fees increase with transaction size. Fees for the Lightning bitcoin network where transactions take place are free if people use a platform that AfriBit Africa introduced into the community. Onesmus Many, 30, another garbage collector, said he feels safer with his money in a bitcoin wallet instead of in cash because of crime. Some merchants have found benefits to accepting crypto, including Dotea Anyim. She said around 10% of customers at her vegetable stand pay in bitcoin. 'I like it because it is cheap and fast and doesn't have any transaction costs,' she says. 'When people pay using bitcoin, I save that money and use cash to restock vegetables.' The possibility that crypto prices could keep rising also appeals to residents of Soweto West. Magak and Many said they now have around 70% to 80% of their net worth in bitcoin, a far higher level of exposure than most people. 'It is my worth and I'm risking it in bitcoin,' Magak said. That concerns Ali Hussein Kassim, a fintech entrepreneur and chair of the FinTech Alliance in Kenya. 'In an extremely volatile asset like bitcoin, it's overexposure. I can't afford to lose 80% of my wealth. How about a guy in Kibera?' Kassim said. 'You are exposing a vulnerable community to an ecosystem and to financial services that they can't necessarily afford to play in.' Kassim acknowledged the potential benefits that digital assets could bring, particularly in facilitating cheaper cross-border payments like remittances, but failed to see the benefit in Kibera. Bitcoin's volatility could negate the benefits of cheaper transaction fees, Kassim said, and bitcoin does not have the same protections as other financial services due to a lack of regulation. Mdawida disagreed, calling bitcoin's unregulated nature a benefit. 'We don't shy away from the risks involved,' the AfriBit Africa co-founder said, noting the group's investments in bitcoin education in Kibera, including financial literacy training and crypto courses in the community. Efforts to introduce bitcoin into developing countries have faced challenges. Bitcoin was adopted as legal tender in El Salvador and Central African Republic but both countries have reversed their decision. In Kenya, the digital asset sector has faced legal and regulatory challenges, including crackdowns on cryptocurrency giveaways. This small project, focusing only on Soweto West, has been allowed. 'On my phone I put notifications on when bitcoin rises … and it's all smiles," Magak said. "Whenever it fluctuates up and down, I know at the end of the day it will just rise.'
Yahoo
09-06-2025
- Business
- Yahoo
Bitcoin is introduced into Africa's largest slum, with risks and rewards
KIBERA, Kenya (AP) — Dotting the roadside in what is widely considered Africa's largest urban slum are typical stands selling vegetables. What isn't typical is their acceptance of bitcoin as a form of payment. Around 200 people use bitcoin in Soweto West, a neighborhood of the Kibera slum in Kenya 's capital. It's part of an initiative to extend financial services to one of the country's poorest and most under-banked areas. Its promoters say the adoption of crypto fits with the ideals of bitcoin as an accessible, democratic technology — but experts say it also has major risks. Bitcoin came to Soweto West via AfriBit Africa, a Kenyan fintech company, through its nonprofit initiative to improve financial inclusion. 'In many cases, people in Kibera do not have an opportunity to secure their lives with normal savings,' said AfriBit Africa co-founder Ronnie Mdawida, a former community worker. With bitcoin, "they do not need documentation to have a bank account … that gives them the foundation for financial freedom.' Bitcoin, the first and largest crypto, was created in 2009 in the wake of the global financial crisis as a decentralized digital asset that could act as an alternative method of payment. The asset has found more popular use as a store of value, like a digital form of gold. Bitcoin has attracted enthusiastic supporters as prices have climbed almost 1,000% in the last five years. But its volatility and lack of regulation are concerns. AfriBit Africa introduced bitcoin into Soweto West in early 2022 through crypto-denominated grants to local garbage collectors, who are often funded by nonprofits. The groups are made up of dozens of young people, who Mdawida says are more likely to be open to new tech. After gathering on a Sunday to collect trash, garbage collectors are paid a few dollars' worth of bitcoin. AfriBit Africa estimates that it has put some $10,000 into the community, with garbage collectors acting as the main agents of spreading bitcoin in Soweto West. In Kibera, many people earn about a dollar a day. Now a small number of other residents hold bitcoin, and some merchants and motorcycle taxis accept payments in crypto. Damiano Magak, 23, a garbage collector and food seller, said he prefers bitcoin to M-PESA, the ubiquitous mobile money platform in Kenya, because M-PESA transaction costs are higher and the network can be slower. There are no fees for M-PESA transactions between individuals or businesses up to 100 Kenyan shillings (78 cents), but after that the fees increase with transaction size. Fees for the Lightning bitcoin network where transactions take place are free if people use a platform that AfriBit Africa introduced into the community. Onesmus Many, 30, another garbage collector, said he feels safer with his money in a bitcoin wallet instead of in cash because of crime. Some merchants have found benefits to accepting crypto, including Dotea Anyim. She said around 10% of customers at her vegetable stand pay in bitcoin. 'I like it because it is cheap and fast and doesn't have any transaction costs,' she says. 'When people pay using bitcoin, I save that money and use cash to restock vegetables.' The possibility that crypto prices could keep rising also appeals to residents of Soweto West. Magak and Many said they now have around 70% to 80% of their net worth in bitcoin, a far higher level of exposure than most people. 'It is my worth and I'm risking it in bitcoin,' Magak said. That concerns Ali Hussein Kassim, a fintech entrepreneur and chair of the FinTech Alliance in Kenya. 'In an extremely volatile asset like bitcoin, it's overexposure. I can't afford to lose 80% of my wealth. How about a guy in Kibera?' Kassim said. 'You are exposing a vulnerable community to an ecosystem and to financial services that they can't necessarily afford to play in.' Kassim acknowledged the potential benefits that digital assets could bring, particularly in facilitating cheaper cross-border payments like remittances, but failed to see the benefit in Kibera. Bitcoin's volatility could negate the benefits of cheaper transaction fees, Kassim said, and bitcoin does not have the same protections as other financial services due to a lack of regulation. Mdawida disagreed, calling bitcoin's unregulated nature a benefit. 'We don't shy away from the risks involved,' the AfriBit Africa co-founder said, noting the group's investments in bitcoin education in Kibera, including financial literacy training and crypto courses in the community. Efforts to introduce bitcoin into developing countries have faced challenges. Bitcoin was adopted as legal tender in El Salvador and Central African Republic but both countries have reversed their decision. In Kenya, the digital asset sector has faced legal and regulatory challenges, including crackdowns on cryptocurrency giveaways. This small project, focusing only on Soweto West, has been allowed. 'On my phone I put notifications on when bitcoin rises … and it's all smiles," Magak said. "Whenever it fluctuates up and down, I know at the end of the day it will just rise.' ___ For more on Africa and development: The Associated Press receives financial support for global health and development coverage in Africa from the Gates Foundation. The AP is solely responsible for all content. Find AP's standards for working with philanthropies, a list of supporters and funded coverage areas at
