Egyptian traders ❤️ BTC?
Egypt’s large unbanked population, its high volume of remittances, and economic uncertainty caused by covid-19 could be driving accelerated Bitcoin trading, with peer to peer trading hitting an all time weekly high of EGP 3.2 mn in 1Q2021, according to a video report by trading platform LocalBitcoins (watch, runtime 8:06).
Crypto traders under the age of 34 are mainly responsible for driving increased trading volumes in Egypt, the report claims.
The Central Bank of Egypt is open to crypto — provided it can regulate it. The bank has warned that trade in BTC is illegal but has announced plans to potentially issue its own digital currency.
Why is the CBE so cautious about crypto? Look no further than Turkey, where the collapse of a second crypto exchange, Vebitcoin, last week has left regulators vowing to crack down on the industry, as many Turks have sought to put their money in crypto as a hedge against skyrocketing inflation, Bloomberg reports. The exchange cited deteriorating financial conditions for its closure and is now being investigated. Authorities have banned the use of cryptocurrency as a recognized form of exchange starting 30 April and have said more regulation is in store. Earlier last week, authorities launched an international manhunt for the CEO of another failed Turkish crypto exchange, Thodex, who fled the country owing users USD 2 bn, Bloomberg reports.