A consortium including IOTA Foundation and Tony Blair Institute plans to digitize Africa's trade processes and introduce USDT-based stablecoin settlements for 55 nations, announced at AfCFTA Digital Trade Forum in Zambia.
This initiative potentially adds $70 billion to Africa's economy by 2035, promising significant trade process efficiencies and new digital financial tools across the continent.
Revolutionizing African Trade
The initiative to improve Africa's trade infrastructure is underway, involving stablecoins and IOTA technology for cost efficiency. Collaborations across sectors promise to revolutionize trade efficiencies and expand pan-continental economic capabilities.
A consortium including the IOTA Foundation, Tony Blair Institute, and WEF spearheads this move. Official partnerships formalized through a Memorandum of Understanding aim to introduce USDT-based settlement across 55 nations.
Impact and Opportunities
The program, impacting millions, reduces trade complexity through digital solutions. Innovations in blockchain technology are expected to facilitate smoother cross-border transactions for African governments and businesses.
This initiative could transform the African economic landscape by introducing cost efficiencies and rapid payment systems. It leverages cutting-edge technology for enhanced transactional transparency and lower fees.
This program creates considerable potential for economic growth, with stablecoin use promising more secure and efficient transactions across borders.
The initiative may herald broader financial inclusion, providing accessible digital financial services. With regulatory and infrastructure support, blockchain adoption can encourage economic agility and sustainability in Africa.
“We could help a miner in Rwanda get access to onchain trade finance at 50% of the cost, getting paid almost instantly with low transaction fees using USDT. This is how we move beyond the typical boom and bust cycles in crypto and anchor our industry with real assets, real adoption, and real value.” — Dominik Schiener, Co-Founder, IOTA Foundation