The first ever blockchain backed currency developed was Bitcoin. It has continued to be the most widely used globally. Blockchain has also been implemented by start ups and technology institutions in Kenya to assist in problem solving.
In Kenya there is two ways to trade in cryptocurrency, the Merchant Exchanges and trading exchanges.
The three most popular points of buying cryptocurrencies directly with MPESA that is merchant exchanges will be discussed below.
Paxful is one of the most popular exchanges for purchasing Bitcoin in Kenya. It enables anyone to sign up, buy, sell, and trade Bitcoin, including via MPESA. The registration process is smooth and only takes a few seconds to get started. This is the best recommended exchange for purchasing crypto in Kenya due to the customer support and community already in Kenya and across Africa.
Localbitcoins exchange deals only on Bitcoin. It just takes a few steps to get started, the trader signs up, activates account via a link sent to the sign up email, sign in. Once this is done, the user can now buy or sell bitcoin and search for a suitable merchant.
Localethereum exchange deals only on Ethereum. To get started, one has to sign up. On this platform, there are buyers and sellers of the popular cryptocurrency, Ether, who are always willing to exchange crypto’s for cash and vice versa. Through the help of escrow, a third part program, one can send funds to the seller without worrying that he or she will run away with his funds. It is important however, to view a merchant’s performance and trading history on the platform so as to be on the safe side.
On the above two platforms, you will notice that merchants sell cryptocurrencies at a relatively higher rate than the market price, and they also tend to buy at market price or at a lower rate than the market price.
Trading exchanges is another option that allows trading of cryptocurrencies at the market rate. Exchanges take place online. This option brings buyers and sellers together by matching their orders to execute trades. Buyers and sellers exchange cryptocurrencies from one another.
A buyer puts up his buying price order and the seller puts up his selling price order. Once the orders match, the exchange automatically occurs. One of these exchanges, that also happens to be available to Kenyans is the Binance Exchange which recently set up operations in Uganda.
Trading exchanges have wallets in them making it super easy to deposit and withdraw cryptocurrencies. These wallets do not have private and public keys making them unsafe to hold cryptocurrencies in them. Exchanges are known to get hacked all the time.
One of the most popular cryptocurrency exchanges with high trading volumes is Binance.
Belfrics is one of the most liquid order books in the world with the capability of processing upto 1.4 million order per second. It is focused on providing a seamless client experience. It is a smart digital asset trading platform where traders and investors can expose themselves with new digital currencies. It supports multiple coins like bitcoin and etheruem to name a few.
It is safe and stable. Most compliant exchange with end to end blockchain based verification system and it is a available globally. One of the most liquid order books in the world that supports all devices like Web, Android and IOS.
Other exchanges where a Kenyan can easily open an account and start trading include, KuBitX and PesaMill.
This shows despite the slow adoption of cryptocurrency and blockchain technology in the country and continuous warnings against it by the government there is hope that in the near future this will be the best profitable investment business.