EMURGO Africa, in strategic partnership with PwC, today unveiled the “State of Web3.0 in Africa” report, a forward-looking publication that provides an expansive and insightful analysis of the emergent influence of blockchain and Web3.0 technologies within Africa and the Middle East and North Africa (MENA) region.

Unearthing compelling statistics, the report casts a spotlight on the pivotal rise of blockchain investment within Africa.

Blockchain funding soared by a stunning 1,668% in 2022 compared to the preceding year, accumulating a total of USD 91 million in countries like Kenya, South Africa and Nigeria. This heralds Africa’s burgeoning presence within the global blockchain arena.

Illustrating the impressive progress and latent potential of blockchain and Web3.0 technologies across Africa, the report paints a picture of Kenya’s forefront role in blockchain adoption and digital innovation. It showcases Kenya’s speedy growth in implementing blockchain solutions that stimulate economic development in East Africa.

In South Africa, the report indicates the escalating adoption of Web3.0 and blockchain technologies that are revolutionizing industries via secure and transparent data management in Southern Africa.

The State of Web3.0 in Africa report also highlights Nigeria‘s high-ranking position in the top 10 worldwide for crypto adoption, emphasizing the country’s role in propelling financial inclusion and nurturing innovation in the digital currency sector in West Africa.

These findings underline the transformative effect of blockchain and Web3.0 technologies in Kenya, South Africa and Nigeria, establishing them as major contributors to the digital revolution unfolding across Africa.

The MENA region, concurrently, has been identified as the fastest-growing crypto market from 2021 to 2022, leading the digital revolution among users, regulators and crypto investors alike.

On the global stage, crypto regulation is evolving, with 40% of the 35 nations surveyed having instituted regulatory frameworks, 34% actively developing them, and a scant 9% enforcing outright prohibitions on cryptocurrencies. 

Despite the fact that Africa has thus far received a mere 0.5% of global blockchain funding, the continent’s commitment to Web3.0 technologies and digital currencies is poised to recalibrate its technological and financial landscape, paving the way for unprecedented financial inclusion and innovation.

Weakening local currencies coupled with fragile economic backdrops have created rapidly growing demand for USD-pegged stablecoins on the continent, as consumers protect their asset values from free-falling and owners of SMEs seek cheaper and efficient ways of payment. This development is a testament to the burgeoning adoption of digital currencies and blockchain technology as practical solutions in economically volatile environments.

Ahmed M Amer, CEO of EMURGO Africa, in a statement, emphasized, “Web3.0 technologies are already redefining the African digital landscape, offering innovative solutions to long-standing challenges and empowering individuals and communities across the continent. This report presents an in-depth exploration of the potential of these technologies to drive positive change, while highlighting the importance of fostering a collaborative environment between stakeholders, policymakers, and regulators to unlock the full potential of Web3.0.”

Compilation of the “State of Web3.0 in Africa” report marks a significant milestone, charting the course for understanding the opportunities, challenges and potential of blockchain and Web3.0 in Africa and the MENA region.

It serves as an invaluable resource for industry leaders, policymakers, innovators, and all interested parties, offering profound implications for the future of these regions beyond mere statistics.

With 20% of Sub-Saharan African countries currently outlawing crypto-assets, and established data protection laws in countries like Kenya, Nigeria, Egypt, and South Africa, the report underscores the importance of a balanced regulatory approach in safeguarding individual privacy and protection.

Finally, the report accentuates the imminent impact of the metaverse on businesses. Based on PwC’s Metaverse Survey, an overwhelming 82% of executives anticipate metaverse integration within their business operations in the next three years.

The report highlights the rapidly-evolving landscape of Web 3.0 technologies in African countries, providing in-depth analysis of their impact, opportunities, and challenges and offering recommendations for fostering growth and measurable impact.

Web 3.0 technologies are experiencing exponential growth and expansion in Africa, with the potential to bring transformative change to various industries such as trade and industry, financial services and lending, supply chain management and logistics and healthcare provision and accessibility.

Factors such as regulatory clarity, infrastructure development, and collaboration between stakeholders will play a significant role in the widespread use and successful implementation of these technologies.

The report, sponsored by Emurgo Africa, will be launched at a media event in Nairobi, Kenya, with industry leaders, policymakers and press in attendance.

Key figures from prominent blockchain investors, developer and ecosystem players, including NODO, CVVC, GreenHouse Capital, PwC and Cardano, will deliver notable conversations and remarks at the event.

The Report aims to fill a knowledge gap by examining the potential of these technologies to advance social and economic development in Africa.

It presents a detailed view of the current landscape and future prospects of Web 3.0 technologies in the region, featuring real-world use cases, possibilities and obstacles connected with their adoption.

The Report explores various aspects of Web 3.0, such as decentralized finance (DeFi), blockchain technology, digital identity, smart contracts, and data privacy.

It also investigates the regulatory environment, infrastructure, and access to technology in the target nations, identifying areas for development that will facilitate the growth and adoption of Web 3.0 technologies.

Key findings from the report include the immense opportunities for the African continent through the adoption of Web 3.0 technologies, a staggering 1,668% increase in investment in blockchain technology in Africa between 2021 and 2022, and the crucial importance of collaboration between industry stakeholders, policymakers, and regulators in fostering an environment conducive to the growth of Web 3.0 technologies.

Ahmed Amer, CEO of Emurgo Africa, said: “The future of Web 3.0 technologies in Africa is bright, with the potential to drive unprecedented social, financial and economic development across the continent. This report emphasizes the critical importance of collaboration between stakeholders, policymakers, and regulators in fully realizing the transformative power of Web 3.0 technologies in Africa.”

Adaverse and EMURGO Africa join other strategic investors in an ongoing pre-seed fundraising initiative to launch BoundlessPay into its next phase of development in 2023.

Shogo Ishida, co-CEO at EMURGO Middle East & Africa commented, “BoundlessPay is doing something unique and different with what many have tried and failed. We are excited to be a part of this growth process. It takes a determined heart to build a sustainable Web3 platform that projects into the future development of Africa, which is why Cardano’s proven blockchain platform is ideal for this structural growth and offers flexibility and sustainability.”

Vincent Li, founding partner at Adaverse stated, “We are equally excited about BoundlessPay’s capabilities, especially their talented team. We believe that they have what it takes to sustain this momentum by providing a sustainable socially-impactful platform with a drive for excellence. As such, BoundlessPay will benefit greatly from the Adaverse 3-month accelerator program and be able to connect to the global resources within the Cardano community.’’

BoundlessPay plans to create more services that support Cardano native tokens on its app in the future including launching its native token on the Cardano network. 

“As the Adaverse team is constantly building a healthy ecosystem and community in Africa, we at BoundlessPay are excited to tap into this wealth of resources to provide more bespoke services that truly solve African payment and remittance problems which we believe can be achieved on the Cardano Blockchain,” Franklin Peters, BoundlessPay CEO.