Yellow Card, a pioneering player in the cryptocurrency payment space, is leading the charge to close the fragmented African payment system, with its Crypto powered solution – Yellow Pay. This innovative platform is set to revolutionize cross-border payments in Africa, eliminating the complexities of currency conversion and hidden fees, and opening up new opportunities for individuals and businesses alike.
Africa, a continent teeming with potential, has long grappled with the obstacle of inefficient and costly cross-border payment systems. The lack of seamless integration has impeded the flow of goods, services, and capital within the continent, leaving African nations and their citizens isolated in economic islands.
A recent McKinsey report revealed that a mere 5 to 7 percent of payment transactions in Africa are conducted electronically or digitally, a stark contrast to the more than 50 percent seen in Turkey. This reliance on cash or informal channels has proven costly, slow, risky, and often inaccessible to many segments of the population.
However, Africa is experiencing a transformative shift as it embraces innovation and technology to reshape its payment landscape. In 2020, Africa’s e-payments industry generated approximately $24 billion in revenue, with $15 billion stemming from domestic electronic payments. The domestic e-payments market is projected to grow by approximately 20 percent annually, reaching approximately $40 billion by 2025.
Yellow Card, recognizing the immense potential of digital payments in Africa, launched Yellow Pay in late 2022. Initially available in select countries, it has rapidly expanded to cover 16 African nations, including Nigeria, Botswana, Zambia, South Africa, Cameroon, and Kenya.
“This is more than just a money transfer service – it’s a powerful tool that will unlock new opportunities for people across Africa,” said Chris Maurice, CEO, and co-founder of Yellow Card. “By enabling instant, low-cost transactions across borders, we are helping to create a more connected and dynamic Africa.”
Yellow Pay’s key innovation lies in its seamless and secure means of sending and receiving money across African borders instantly using cryptocurrencies. It simplifies the process by allowing users to effortlessly convert their local currency into crypto with just a few clicks and send it to recipients in different countries, who receive it in their local currency.
The platform leverages Yellow Card’s cryptocurrency exchange infrastructure and uses USDT on the blockchain, aligning with the McKinsey report’s predictions that cryptocurrencies, stablecoins, and central bank digital currencies (CBDCs) will play a pivotal role in Africa’s future e-payment landscape.
Peter Mureu, the Director of Marketing at Yellow Card, highlighted the product’s unique value proposition, underscoring its affordability and speed as game-changers. Yellow Pay promises to bridge the payment divide within Africa, facilitating service exchange, business partnerships, and family support across borders.
Cross-border payments in Africa carry immense significance and relevance. They facilitate international trade, stimulate economic growth, create jobs, reduce poverty, and foster regional integration. Furthermore, they promote financial inclusion, empowering individuals and businesses to access financial services, save money, invest in opportunities, and improve their livelihoods.
