If you are interested in the crypto news of Zimbabwe, you must have surely heard about Golix. It is a cryptocurrency exchange that has got its roots in seven countries across Africa including Zimbabwe. Around $100,000 worth of bitcoins is traded every month using this exchange in Uganda, Tanzania, Kenya, Nigeria, South Africa, Rwanda, and Cameroon. Thus, it implies that the current values per day are 0.5 BTC. The confirmation of these analyses was made by the company director of communication Nhlalwenhle.
Furthermore, the director said that the volume is still low because they are a relatively new exchange and it takes time to grow in Africa. There are not a lot of market makers or day traders in Africa so the company is growing every month but the progress is slow.
How is Golix becoming so popular?
The main reason for the immense popularity of Golix in Zimbabwe is that it is credited for popularizing cryptocurrencies. It was the first cryptocurrency exchange that gave people the opportunity to buy and sell the currency from a centralized platform. It was first opened in 2015 and by now it has traded more than $20 million worth of bitcoins. The number of active traders on Golix had crossed 50,000 in 2018 by mid-May in times when the financial authorities of Zimbabwe had banned the use of bitcoin.
Seeing the interest of Africans in cryptocurrency, Golix extended its plan from Zimbabwe to the whole of Africa. Golix had planned to proceed from its $32 million initial offerings of coins to set up a digital currency exchange in seven different African countries in the next four years. The exchange aimed to help people transfer funds easily at cheaper rates and with faster delivery. Thus, they intended to spread the adoption of cryptocurrency in Africa.
At the initial time of ICO, Golix had not specified the exact intent of the places where the exchange wanted to start operations. After raising 65% of the targeted $32 million in the token sale, Golix expanded at a much faster pace and quickly started to gain popularity. In just three months, the exchange covered over 70% of the countries it initially intended to cover in nine months.
Competition in the Market
Another reason for the immense popularity of Golix in Zimbabwe is that it enjoys a monopoly there. While there are many online platforms like bitcoin prime for trading crypto, the reliable exchange is just Golix.
However, in other countries, it faces tough competition. The dedicated and well established competitive crypto markets with regular clients give a tough time to Golix in Uganda, South Africa, and Kenya.
The Future of Golix
The Golix director of communications, Ngwenya is optimistic about the future developments and growth of the exchange. He says that their exchange has been live since September 2015 but they have been only operating in Zimbabwe. The operations in Zimbabwe were also seized some time ago because of regulatory problems. He revealed in a telegram post that when the operations in Zimbabwe had stopped, they had more than 50 thousand customers and they were successfully having a volume of $7 million.
It was just a matter of time that these numbers grew and marked the success of the exchange at every point. Lastly, Ngwenya pointed out that throughout their journey since 2015 their volume has always doubled every three months. Thus, it indicates the rising popularity of the exchange.
A company running in a monopoly without any direct competitor is always at the rise of popularity. The progressive analysis of the exchange’s volume is a clear indication of its growth. Therefore, Golix has a bright future not only in Zimbabwe but whole Africa.