New crypto-currency exchange Afridax has gone live in South Africa, offering R125 000 in crypto assets to new users.
Founded by crypto veteran Frank Leonette, Afridax is looking to take on established players − such as Luno, VALR, Ovex and AltCoinTrader − in South Africa’s bourgeoning crypto-currency market.
“I bring over eight years of experience in the crypto-currency industry. Throughout my career, I have gained extensive knowledge in blockchain technology, digital asset management, and the evolving landscape of decentralised finance,” Leonette tells ITWeb in an interview.
“My journey in crypto began in the early days of the industry, where I worked on various projects that helped shape my understanding of both the technical and business aspects of the space.”
He says his industry expertise and passion for innovation are key driving forces behind the creation of Afridax, with a mission to make crypto-currency more accessible, secure and user-friendly.
The new exchange launches after South Africa’s Financial Sector Conduct Authority (FSCA) last year issued operating licences to qualifying crypto asset service providers.
FSCA’s move was intended to regulate the local industry and weed out bad actors targeting members of the public with crypto scams.
Leonette says Afridax received its FSCA licence in November 2024, and the official launch is set for 27 January.
“Afridax conducted a successful soft launch in December 2024, marking the beginning of its journey in the crypto-currency space,” he says.
Leonette explains that during this phase, the platform was made available to a limited audience to gather feedback, test its features and ensure everything was functioning smoothly.
“This allowed us to fine-tune the platform and address any potential issues before the full-scale launch.
“The platform is now fully operational, offering a seamless experience for both new and experienced crypto-currency users. From secure wallet management, to staking and earning options, we’re excited to continue building and growing with our community,” Leonette states.
Describing how Afridax differs from other exchanges, he says: “We have placed a strong emphasis on developing an intuitive user interface, understanding that many newcomers to the crypto-currency space can feel overwhelmed by the complexity of traditional crypto platforms.
“Recognising that ease-of-use is key to widespread adoption, we have designed our platform to ensure both beginner and experienced users can navigate.”
He adds that the onboarding process has been streamlined for guiding users through account creation, wallet set-up and basic transactions.
“Our platform integrates ZARP, a rand-backed stablecoin, enabling users to perform free swaps between ZARP and South African rands. This allows customers to trade on decentralised exchanges or establish secondary payment businesses. Furthermore, we have identified several promising crypto assets that are overlooked by other exchanges. These assets will be introduced to our platform in the coming months.”
Leonette points out that Afridax includes an application programming interface, as well as staking/earn options for various crypto assets.
Crypto-currency adoption in SA stands at about 10%-12%, and is projected to grow to around 45% by the end of the decade, he notes.
“While many people are interested in crypto, most are unfamiliar with its inner workings and wary of its volatility. Crypto storage also remains a mystery for many.”
On the local crypto use cases, he says remittances and payment solutions are on the rise, as crypto-currencies offer the unbanked minimal barriers to entry and enhanced financial accessibility.
“Customers are increasingly viewing Bitcoin and related assets as a store of value and a hedge against inflation. Meanwhile, speculation in the crypto-currency market remains high, with participants buying, holding, or trading crypto-currencies primarily to profit from price fluctuations.”
He adds that Bitcoin has reached yet another new all-time high, with prices exceeding R2 million on local exchanges.
“This surge is likely driven by factors such as the US elections and positive sentiment towards crypto-currencies. A clearer regulatory landscape, along with worldwide adoption and the strengthening of Bitcoin's fundamentals, is further contributing to the growing interest and value of Bitcoin.
“We are excited to announce that Afridax will officially launch on 27 January. To celebrate this milestone, we will be giving away a share of R125 000 in crypto assets to the first 500 customers,” he concludes.
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