Blockchain expert, Danny Oyekan, has said technology is increasingly recognised as a transformative force in Africa, potentially revolutionising financial systems, trade, and governance.
He added that Blockchain could bridge economic gaps, drive financial inclusion, and enhance transparency across the continent with the right policies and investments.
In a recent virtual conversation, Oyekan spoke about the possibility of bridging the financial gap through blockchain technology.
“Africa’s financial landscape remains fragmented mainly, with millions of people excluded from traditional banking systems. According to the World Bank, over 66 percent of Sub-Saharan Africa’s population is unbanked, limiting access to essential financial services. While mobile money platforms like Kenya’s M-Pesa have improved financial inclusion, challenges persist, particularly with high transaction fees and delays in cross-border payments.
“Blockchain-based financial solutions are emerging as an alternative to conventional banking. Platforms like BitPesa enable businesses and individuals to conduct seamless, cost-effective cross-border transactions. By eliminating intermediaries, blockchain allows direct financial interactions, reducing costs and enhancing efficiency. This innovation could empower traders and SMEs across the continent, fostering economic growth,” he said.
Speaking further, he explained how blockchain is enhancing transparency and efficiency in the agricultural sector, music, and movie industry.
“Ghana-based Agrocenta, for instance, leverages blockchain to connect small-scale farmers directly with buyers, ensuring fair pricing and reducing middlemen exploitation.
“The creative industry is also witnessing a shift. Musicians, filmmakers, and digital artists in Nigeria and beyond struggle with piracy and unfair royalty distribution. Blockchain-powered smart contracts offer a solution by ensuring transparent revenue distribution, allowing content creators to receive fair compensation for their work. This innovation reshapes Africa’s creative economy, giving artists greater control over their intellectual property,” he revealed.
Lending his voice to the flaws of the eNaira launched by the federal government years ago, Oyekan, highlighted security and usability as factors that affected the initiative.
“Nigeria’s launch of the eNaira marked a significant step towards digital financial integration. However, adoption has been slow due to security, usability, and trust concerns. Experts suggest integrating the eNaira with widely used mobile money platforms could drive higher adoption rates.
“Blockchain-powered digital currencies have the potential to facilitate instant, low-cost transactions across African borders. By providing an alternative to traditional banking, digital currencies could enhance financial inclusion and streamline economic interactions within the continent,” he said.
On youth empowerment and blockchain education, he affirmed that with Africa’s rapidly growing youth population, blockchain offers job creation and skill development opportunities.
He said: “Decentralised finance (DeFi) platforms enable young Africans to access loans, savings, and investments without traditional banks. Additionally, blockchain technology fosters a new wave of innovation, with young developers creating decentralised applications (dApps) and participating in the global gig economy.
“Educational institutions and tech hubs are beginning to recognise the importance of blockchain training. Investing in blockchain education could equip African youth with in-demand skills, enabling them to compete in the global digital economy.”
Oyekan enlightened that blockchain technology can also be used as a tool to combat corruption.
“Corruption remains a significant challenge in Africa, hindering economic progress and eroding public trust. Blockchain’s ability to create tamper-proof, transparent records makes it a powerful tool for accountability in governance.
In Sierra Leone, blockchain technology has been tested in elections to prevent voter fraud and enhance credibility. Similar applications could strengthen electoral processes across the continent. Additionally, blockchain can improve public fund management, ensuring transparency in budget allocations and expenditure tracking. Integrating blockchain with Nigeria’s National Identification Number (NIN) system could enhance identity verification and reduce financial fraud.
“The African Continental Free Trade Area (AfCFTA) aims to create a unified market, but cross-border trade remains costly and complex due to currency disparities and regulatory bottlenecks. Blockchain-powered payment solutions, such as those developed by Flutterwave, enable businesses to conduct seamless transactions using digital assets or stablecoins, reducing transaction costs and boosting intra-African trade,” he said.
Speaking on challenges, he noted that despite its potential, blockchain adoption in Africa faces several obstacles, including regulatory uncertainty, limited internet access, and public awareness.
“Governments must develop clear policies that encourage blockchain innovation while protecting consumers. Additionally, educational initiatives are needed to demystify blockchain technology and promote its benefits.
“As blockchain continues to gain traction, its role in Africa’s economic transformation is becoming increasingly evident. With strategic adoption, the technology could drive financial inclusion, improve governance, and foster a more integrated African economy. While challenges remain, blockchain’s potential to reshape the continent’s future is undeniable,” he urged.
