Bitsika Africa, a cryptocurrency startup with operations in Ghana and Nigeria, said on Monday that it has processed nearly $40 million in remittances by 2020, up from nearly $1 million last year.

Founder and CEO Atsu Davoh said that deposits accounted for US$18.87 million of the total and expenditures accounted for US$17.89 million. He added that the total amount of internal peer-to-peer transfers was $3.19 million.

Davoh did not disclose how much of the total amount constituted the remittance denominated in Bitcoin (BTC). As of press time, the CEO has not yet responded to questions sent to him.

Bitsika allows users to buy and sell bitcoin, as well as to send and receive currencies in cryptocurrency or legal tender. According to reports, revenue has soared from US$329 in 2019 to US$1.03 million in 2020, a year-on-year increase of 312,000%.

To conduct transactions on the platform, users can transfer Ghanaian cedi, Nigerian naira, U.S. dollar or CFA franc via bank transfer, cash and mobile money (this is the currency used by 14 former French colonies in West and Central Africa) Deposit to Bitsika account. . Bitcoin and BUSD stablecoins can also be deposited.

Davao said that about 96,000 people are using the Bitsika app, and 95% of registered users will use it in 2020. During the year, about 16,507 individual users completed at least one transaction. By 2020, the platform has processed a total of 268,430 transactions.

“These books come from autonomy, autonomy [successful] A transaction initiated and executed by the user. We did not count system transactions that were not initiated by users,” Davao asserted. line On Twitter.

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Looking to the future, Bitsika Africa plans to raise undisclosed funds in 2021, “obtaining our own licenses in all markets we operate, launching our internship program for the design and technical communities, and providing more information in our app Multi-function to expand our coverage beyond the financial technology field.”

Encryption-based remittances are booming in Africa, mainly because they are cheaper and faster than legal remittances. For example, sending any amount of money through the Bitcoin Cash network only costs one penny. In contrast, according to a new study by the World Bank, banks will charge an average of 10.89% of the amount remitted.

In December last year, Nigeria’s yellow card revealed that it had processed $165 million in cryptocurrency remittances in the first 11 months of 2020.

What do you think of the cryptocurrency remittance business in Africa? Let us know in the comments section below.

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