Africa’s cryptocurrency journey has evolved far beyond retail speculation. What started as a hedge against inflation and capital controls is now a critical enabler of cross-border trade, treasury operations, and institutional payments.
According to the new report, The Rise of OTC and Stablecoins – Africa’s Quiet FX Revolution, global OTC crypto volumes surged 106% year-on-year in 2024, driven by a 147% rise in stablecoin activity. This growth is being matched on the continent, where African players like Quidax and Busha are pioneering large-scale, compliant settlements across Nigeria, South Africa, and Ethiopia.
REPORT | #Nigeria Ranked 2nd Globally in #DeFi and the Only African Country in Top 20 by Chainalysis 2024 Crypto Adoption Index
“When we look at year-over-year growth in terms of types of services, we see that DeFi activity increased significantly in Sub-Saharan Africa, Latin… pic.twitter.com/foXhFCjaM1
— BitKE (@BitcoinKE) September 13, 2024
Why OTC Matters for Africa
Unlike exchange trading, OTC deals occur directly between parties, shielding large transactions from slippage and market disruption. For African businesses, OTC desks solve several pain points:
FX volatility – Locking in stable rates via USDT/USDC
Slippage – Avoiding costly market impact on large orders
Cross-border complexity – Single, negotiated trades from sender’s fiat to recipient’s fiat in minutes
Compliance – Licensed desks meet local KYC/AML rules, from Nigeria SEC to South Africa FSCA
The report highlights real-world examples where OTC reduced settlement times from five days to a few minutes and cut FX costs by up to 2% per transaction.
The Rise of Stablecoins in African Trade
Stablecoins now account for 43% of all Sub-Saharan Africa (SSA) crypto transactions, overtaking Bitcoin in transaction volume across most regions. Nigeria alone received more than 40% of SSA stablecoin inflows last year, with Ethiopia and Zambia seeing annual growth rates above 100%.
REPORT | Stablecoin Transfers Account for 43% of All Crypto Transfers Across Africa, #Ethiopia is Fastest-Growing Market, Says Chainalysis
According to Chainalysis, Ethiopia has become the continent’s fastest-growing market for retail-sized stablecoin transfers, experiencing a… pic.twitter.com/pJMLHAp09T
— BitKE (@BitcoinKE) October 4, 2024
The appeal is simple:
Price stability
Instant settlement, and
Transparency.
Businesses use stablecoins to pay suppliers, hedge currency risks, and bypass slow, expensive correspondent banking.
Regulation: From Prohibition to Engagement
Many African regulators are softening their stance. Nigeria’s 2024 licensing regime marked a turning point, followed by South Africa’s FSCA issuing dozens of crypto licenses and Kenya’s draft VASP bill aiming to formalize the sector.
Quidax’s licensing in both Canada and Nigeria gives it a compliance edge, allowing global corporates to settle into African markets without regulatory uncertainty.
REGULATION | Nigerian Crypto Exchange, Quidax, Receives Provisional Operating License from SEC Nigeria
With the license granted by the Nigerian SEC, Quidax is now able to collaborate with banks and other financial institutions, subject to the Central Bank of Nigeria’s… pic.twitter.com/4gPpLyJi4z
— BitKE (@BitcoinKE) August 29, 2024
The report predicts that programmable stablecoin rails and API-driven OTC platforms will soon form invisible infrastructure for Africa’s corporate ERPs, fintech apps, and even AfCFTA-driven trade. Central Bank Digital Currencies (CBDCs) and stablecoin-pegged local currencies could further integrate African economies without the need for USD intermediation.
As Buchi Okoro, CEO of Quidax, notes:
“Over the next few years, OTC desks here will adopt more standardized practices, better risk management, and stronger compliance – all while powering faster, cheaper trade flows across Africa.”
INTRODUCING | Africa’s First Regulated Stablecoin, the Nigerian Naira-Pegged Stablecoin, $cNGN, Goes Live on Local Nigerian Exchanges
As of February 4 2025, the website reports that there are 4,400 cNGN in circulation.https://t.co/84l4PVX9FJ pic.twitter.com/5pkjCKYk4H
— BitKE (@BitcoinKE) February 10, 2025
Bottom line: Africa’s quiet FX revolution is already underway. Stablecoins and OTC trading aren’t just fintech buzzwords – they are becoming the rails for the continent’s next wave of trade, investment, and financial inclusion.
Being the only African founder speaking at @CoinDesk‘s flagship event, #Consensus2025, @BuchiOkoro_ emphasized that Africa’s crypto growth hinges on strategic partnerships between global stakeholders and local builders. pic.twitter.com/81dK4Pd6ID
— BitKE (@BitcoinKE) May 23, 2025
Stay tuned to BitKE for deeper insights into crypto use cases in Africa.
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