AFRICA USING BLOCKCHAIN TO DRIVE CHANGE, PART ONE: NIGERIA AND KENYA

Last updated: June 19, 2025, 20:18 | Written by: Samson Mow

Imagine a future where corruption is minimized, financial inclusion is widespread, and even food aid reaches those who need it most, efficiently and transparently.This isn't just a utopian dream; it's a future that blockchain technology is actively helping to build across Africa. Africa has been an early adopter. According to a policy brief released recently by UNCTAD, a United Nations agency, significant proportions of Kenya s (8.5%), South Africa s (7.1%) and Nigeria s (6.3%) populations are using digital currencies.While the world often associates blockchain with cryptocurrencies, its potential extends far beyond digital currencies, offering solutions to some of the continent's most pressing challenges. While the general attention of governments still appears minimal, some countries are reportedly taking steps to promote increased blockchain adoption. Nations such as Kenya and Nigeria have announced plans in recent months to pursue regulation and greater cooperation with the private sector to leverage the benefits accruable from blockchainIn this article, we embark on a journey to explore how blockchain technology is driving change in Africa, focusing specifically on the innovative strides being made in Nigeria and Kenya. Africa, the continent with the world's youngest and fastest growing population, is brimming with potential. This dynamism extends to the burgeoning world of blockchain technology, where a new generation of women are emerging as leaders and innovators. While the global tech industry has a well-documented male domination, Africa is witnessing a surge of women actively shaping the future ofThese two nations are leading the charge, leveraging blockchain for everything from streamlining transportation and empowering women in tech to revolutionizing financial services. The inaugural African Blockchain Report, published by CV VC in collaboration with Standard Bank, revealed South Africa to be amongst the top fundraisers for new blockchain ventures in Africa in 2025, with US$18.89 million raised to fund five blockchain and cryptocurrency companies. This was still behind Nigeria, which raised $49.6 million forWe'll delve into specific use cases, examine the challenges, and explore the promising future that blockchain holds for these vibrant African economies.Get ready to discover how Nigeria and Kenya are using blockchain to build a more equitable and prosperous future.

The Rise of Blockchain Adoption in Africa

Africa, with its young and rapidly growing population, is proving to be a fertile ground for blockchain adoption. Africa Using Blockchain to Drive Change: Nigeria and Kenya, Part One amc amcworld amczet amb amcblue amccoin amctravel mileage platform blockchain Africa Nigeria Kenya If you areSeveral factors are contributing to this surge, including the need for greater financial inclusion, transparent governance, and efficient solutions to existing challenges. Blockchain technology is finding real-world utility across Africa via public-private partnership agreements in solving some of the continent s burning issues. Blockchain adoption in Africa is on the rise. From transportation to the gaming and lottery industries, reports of companies utilizing decentralized ledger technology (DLT) across the continent are emerging. Several stakeholders in theTraditional banking infrastructure has often struggled to meet the needs of the population, creating an opportunity for decentralized technologies to step in and provide alternatives.This increased demand has spurred greater adoption of blockchain and Web3 technologies in countries like Kenya, South Africa, and Nigeria.

Why is Africa embracing blockchain?

Several key factors are driving the surge in blockchain adoption across the continent:

Financial Inclusion: Blockchain offers access to financial services for the unbanked and underbanked populations.
Transparency: Decentralized ledgers provide increased transparency in governance and supply chains.
Efficiency: Blockchain streamlines processes, reduces costs, and eliminates intermediaries.
Security: Blockchain offers enhanced security and protection against fraud.
Remittances: Easier and cheaper cross-border payments.

The statistics speak for themselves.Adoption rates have skyrocketed, with countries like Kenya, South Africa, and Nigeria leading the way.This growth is attracting significant global investment, with spending on blockchain technologies expected to reach staggering levels in the coming years.This investment is fueling innovation and driving the development of practical blockchain solutions tailored to the specific needs of the African market.

Nigeria: A Hotbed for Blockchain Innovation

Nigeria has emerged as a powerhouse in Africa's blockchain landscape.The country boasts a vibrant tech ecosystem, a large and tech-savvy population, and a growing appetite for digital currencies and decentralized solutions. Blockchain adoption in Africa is on the rise. From transportation to the gaming and lottery industries, reports of companies utilizing decentralized ledger technology (DLT) across the continent areNigeria has been ranked among the top countries globally for peer-to-peer (P2P) cryptocurrency trading, indicating a strong grassroots adoption of digital assets.This enthusiasm, coupled with government initiatives to explore blockchain regulation, positions Nigeria as a key player in Africa's blockchain revolution.

Blockchain Use Cases in Nigeria

Nigeria is actively exploring and implementing blockchain solutions across various sectors:

Transportation: Digitizing the road travel experience, ensuring passenger authentication and real-time verifiable insurance coverage.
Finance: Facilitating secure and efficient cross-border payments and remittances.
Supply Chain Management: Improving transparency and traceability in supply chains, reducing fraud and corruption.
Identity Management: Creating secure and verifiable digital identities for citizens.
Gaming and Lottery: Introducing transparency and fairness into the gaming and lottery industries.

One compelling example is the initiative to digitize the road travel experience. Global investment in blockchain is skyrocketing, with spending expected to hit nearly $17.9 billion in 2025. Several African women in crypto are at the forefront of this technological evolution, using blockchain to solve critical challenges and empower their communities. Their stories are inspiring and pivotal to understanding how Africa is leveraging blockchain for economic andThis project aims to create a digital manifest for long-distance travelers, ensuring that every passenger is authenticated and covered by real-time, verifiable insurance.By leveraging blockchain, the system enhances safety, reduces fraud, and improves the overall travel experience. Blockchain technology is making waves in Kenya s economy by helping people send money, get loans, and improve business operations, making life easier and more efficient. Blockchain is boosting financial inclusion and efficiency in Kenya s markets. This helps more Kenyans take part in the digital economy. Key TakeawaysThis initiative demonstrates the potential of blockchain to address critical challenges in Nigeria's transportation sector.

The Role of Women in Nigeria's Blockchain Space

Nigeria is also witnessing a surge of women actively shaping the future of blockchain.Despite the global tech industry's gender imbalance, African women are stepping up as leaders and innovators in the blockchain space. As part of this paper, we look at blockchain with a focus on its key characteristics and remaining short-falls that inform the following use cases. Besides drawing on the actual practicability of the specific use cases based on the technology as to date, we also considered the maturity of existing use cases in our selection.They are using blockchain to solve critical challenges and empower their communities, contributing significantly to economic growth and social development.Their stories are inspiring and pivotal to understanding how Nigeria is leveraging blockchain for economic advancement.

Kenya: Pioneering Blockchain for Financial Inclusion and Beyond

Kenya has long been recognized as a leader in mobile money and digital payments, paving the way for the adoption of blockchain technology.The country's high mobile penetration rate and innovative spirit have created a conducive environment for blockchain solutions to thrive. Africa is one of the most exciting markets for blockchain and cryptocurrency adoption. We ve seen incredible growth in digital asset usage across the continent, driven by young, tech-savvy populations and a strong demand for financial solutions that traditional banking infrastructure has struggled to provide.Kenya is using blockchain to boost financial inclusion, improve business operations, and make life easier and more efficient for its citizens.

Blockchain Applications in Kenya

Kenya is at the forefront of implementing blockchain solutions in various sectors, including:

Financial Services: Enabling access to loans, facilitating remittances, and streamlining payment processes.
Agriculture: Improving supply chain transparency, connecting farmers to markets, and ensuring fair prices.
Healthcare: Enhancing medical record management, improving supply chain traceability for pharmaceuticals, and ensuring data security.
Food Aid Distribution: Ensuring transparency and efficiency in the distribution of food aid, reducing delays and misappropriation of funds.
Identity Management: Strengthening digital identity systems and reducing fraud.

One notable example is the use of blockchain in the distribution of food aid.Traditional methods often involve multiple intermediaries, leading to delays and the potential for corruption.By leveraging blockchain, aid organizations can create a transparent and secure system that tracks the movement of food aid from the source to the recipient, ensuring that resources reach those who need them most. Africa Using Blockchain to Drive Change, Part Two: Southern Solutions Health care, identity management and renewable energy are some of the non-financial blockchain use-cases gaining popularity inThis innovative approach enhances accountability and improves the effectiveness of aid programs.

Kenya's Government Support for Blockchain

The Kenyan government has demonstrated increasing interest in blockchain technology, announcing plans to pursue regulation and greater cooperation with the private sector. Blockchain in Africa boosted by cryptocurrency adoption. Currently, Africa is one of the fastest-growing cryptocurrency markets in the world, garnering large investments consistently. By July 2025 and June 2025, the adoption rate surpassed 1,200 per cent, with strong adoption rates in Kenya, South Africa, Nigeria, and Ghana.This proactive approach signals a commitment to leveraging the benefits of blockchain for economic development and social progress. Africa Using Blockchain to Drive Change: Nigeria and Kenya, Part OneKenya's participation in international forums and round tables further solidifies its position as a leader in Africa's blockchain landscape.

Challenges and Opportunities for Blockchain Adoption in Africa

While the potential of blockchain in Africa is undeniable, several challenges need to be addressed to ensure its successful implementation and widespread adoption. One compelling case study is the use of blockchain in the distribution of food aid in countries like Kenya. Traditional methods of aid distribution often involve multiple intermediaries, which can lead to significant delays and the potential for funds to be misappropriated.These challenges include:

Lack of Awareness: Many people are still unaware of the benefits and potential of blockchain technology.
Regulatory Uncertainty: The regulatory landscape for blockchain and cryptocurrencies is still evolving in many African countries.
Infrastructure Limitations: Limited internet access and infrastructure challenges can hinder the adoption of blockchain solutions.
Skills Gap: There is a need for more skilled blockchain developers and professionals in Africa.
Security Concerns: Addressing security vulnerabilities and ensuring the safety of blockchain systems is crucial.

Despite these challenges, the opportunities for blockchain adoption in Africa are vast. Nigeria has emerged as one of the most active countries in the world for cryptocurrency usage, ranking among the top in peer-to-peer (P2P) trading volumes. The country tops Africa in Web3 potential, and has been making strides to make crypto and blockchain mainstream in the past two years. However, there are still stumbling blocks along the way.By addressing these challenges and fostering a supportive ecosystem, African countries can unlock the full potential of blockchain to drive economic growth, improve governance, and empower their citizens.

Overcoming the Hurdles

To overcome these challenges, several key steps are necessary:

Education and Awareness: Investing in education and awareness programs to promote understanding of blockchain technology.
Clear Regulatory Frameworks: Developing clear and supportive regulatory frameworks that encourage innovation and protect consumers.
Infrastructure Development: Improving internet access and infrastructure to support the adoption of blockchain solutions.
Skills Development: Investing in training and education programs to build a skilled blockchain workforce.
Collaboration and Partnerships: Fostering collaboration between governments, private sector, and civil society organizations.

The Future of Blockchain in Nigeria and Kenya

The future of blockchain in Nigeria and Kenya looks bright.Both countries are poised to continue leading the way in Africa's blockchain revolution, driving innovation and creating new opportunities for their citizens. Leading innovators in blockchain technology are Nigeria, South Africa, and Kenya. These countries account for over 80 percent of blockchain innovations. Within these countries, the major innovations are in finance and insurance, the Internet and telecommunications, and the health sector.As awareness grows, regulatory frameworks become clearer, and infrastructure improves, blockchain will play an increasingly important role in transforming these economies and addressing key societal challenges.

Emerging Trends

Several emerging trends are shaping the future of blockchain in Nigeria and Kenya:

Decentralized Finance (DeFi): The growth of DeFi platforms offering access to financial services without traditional intermediaries.
Non-Fungible Tokens (NFTs): The use of NFTs to create unique digital assets and support artists and creators.
Central Bank Digital Currencies (CBDCs): The exploration of CBDCs by central banks to improve payment systems and financial inclusion.
Supply Chain Innovation: Continued development of blockchain solutions to enhance supply chain transparency and traceability.
Increased Government Adoption: Greater government adoption of blockchain for various applications, such as identity management and land registration.

Conclusion: Blockchain as a Catalyst for Change

Blockchain technology is undeniably a powerful catalyst for change in Africa, and Nigeria and Kenya are at the forefront of this transformation.By embracing decentralized solutions, these countries are addressing critical challenges, fostering financial inclusion, and creating new opportunities for their citizens. As a result of the project, Kenya has been invited to several international forums and round tables, such as the one in Paris in July 2025 organised by the United Nations Environment Programme (UNEP). Along with South Africa and Nigeria, the country is an African leader in the field.While challenges remain, the potential of blockchain to drive economic growth, improve governance, and empower communities is immense. Africa, the world's youngest and fastest-growing continent, is experiencing a surge in blockchain adoption. This burgeoning ecosystem, driven by a confluence of factors, holds immense potential to revolutionize financial inclusion, identity management, and even environmental solutions. Africa's embrace of blockchain stems from several key challenges and opportunities. A large portion of theAs we've seen, whether it's digitizing transportation in Nigeria or streamlining food aid distribution in Kenya, the practical applications of blockchain are already making a tangible difference in people's lives. Nations such as Kenya and Nigeria have announced plans in recent months to pursue regulation and greater cooperation with the private sector to leverage the benefits accruable from blockchainLooking ahead, the continued development of clear regulatory frameworks, investment in skills development, and fostering of collaboration between stakeholders will be crucial to unlocking the full potential of blockchain in Africa. Nigeria and Kenya are paving the way for a future where blockchain empowers individuals, strengthens institutions, and creates a more equitable and prosperous continent. Join over 1,500 innovators from Nigeria, Kenya, Rwanda, and Ethiopia in a premier competition to develop blockchain solutions addressing real-world challenges. Compete for a share of $30,000 in prizes, gain expert coaching, and connect with industry leaders. Registration opens soon don't miss your chance to shape Africa's blockchain future.Stay tuned for Part Two, where we'll explore how other Southern African nations are harnessing this transformative technology.

Key Takeaways:

Blockchain adoption in Africa is rapidly increasing, driven by the need for financial inclusion, transparency, and efficiency.
Nigeria and Kenya are leading the way in Africa's blockchain revolution, implementing innovative solutions across various sectors.
Challenges remain, including lack of awareness, regulatory uncertainty, and infrastructure limitations.
The future of blockchain in Nigeria and Kenya looks bright, with emerging trends such as DeFi, NFTs, and CBDCs shaping the landscape.

Call to Action: Are you interested in learning more about blockchain technology and its potential to drive change in Africa?Explore online resources, attend industry events, and connect with blockchain experts to deepen your understanding.Consider supporting organizations and initiatives that are working to promote blockchain adoption in Africa. To digitize the road travel experience across Nigeria ensuring that every passenger traveling long-distance is authenticated in a digital manifest and covered with a real-time, verifiableTogether, we can help unlock the full potential of blockchain to create a more equitable and prosperous future for the continent.