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Binance survey reveals how well Ghanaians understand cryptocurrencies

  Thu, 13 Jun 2024
Crypto & Blockchain Binance survey reveals how well Ghanaians understand cryptocurrencies
THU, 13 JUN 2024 LISTEN

When considering cryptocurrency, do you think of rare metals like gold and silver? Or is your first thought of a digital currency that relies on cryptography? Well, in a recent survey undertaken by Binance in Ghana, it turns out that 50% of the respondents are very much aware of the fact that it is the latter. This digital currency operates on decentralised blockchain networks.

But what else do people here think about cryptocurrency and the value it offers? Well, nobody in Ghana thinks it’s the same as paper money but 22% of respondents did think the top three most popular cryptocurrencies are Akwaaba Cedi, Wasawasa and JollofJumping. None of which are actual cryptocurrencies.

The top three are actually Bitcoin, Ethereum and Tether. Bitcoin was launched in 2009 and was originally worth less than a dollar and as of 2024, it is worth just over $51,000 US. In 2013, Ethereum arrived on the market and has achieved an all-time high of nearly $5,000. Then there’s Tether. This cryptocurrency was introduced in 2014, just a year after Ethereum, and has since reached a maximum value of just $1. While not exactly the same financial league as Bitcoin and Ethereum, it is still a growing cryptocurrency known for its stability.

The next question was about Bitcoin mining. Do Ghanaians think it is the process in which cryptocurrency transactions among users are verified and added to the public blockchain ledger? Or is it the computational process by which powerful computers (miners) solve complex mathematical puzzles to validate transactions on the Bitcoin network? The answer is…of course, the latter. It definitely isn’t miners going into digital mines with virtual pickaxes (which 37% of respondents believed) nor is it the latter. It is, in fact, the verification of cryptocurrency transactions.

Who knew? Most people did! They also knew that blockchain and Bitcoin are not the same. Yes, it’s easy to confuse the two because the media has talked about these two technologies at the same time and in the same context. However, where Bitcoin uses blockchain to operate – blockchain is the cryptocurrency’s digital foundation – blockchain is its own, smart, unique technology that delivers massive security and privacy benefits.

Now, the important question for those who were smart enough to catch a ride on the Bitcoin train early, is whether or not you have to pay tax on your Bitcoins. Are they a source of income that must be taxed, do no cryptocurrency taxes exist, or does it depend on the Ghanaian government? The answer is actually the last one – it depends on how each government envisions the function of the crypto market in their country’s economy. This is one question that most people didn’t get right, which is 38% however, that’s okay, not even the governments may be sure how to get an entirely new digital currency right this early on.

What this survey proves, other than that tax is a mystery nobody wants to solve, is that Ghanaians get crypto and most know exactly how it works and how it can benefit them. The Binance survey shows that African investment is as savvy as ever, especially when it comes to discovering the value of crypto and digital.

Did You Know:Binance recently marked a significant milestone as the world's leading blockchain ecosystem, surpassing a staggering 200 million registered users, further cementing its position as an industry leader and trusted entity within the community. The record-breaking user growth not only indicates a fast-pace shift towards crypto adoption but also underscores Binance's influential role, as we took only 2 years 3 months to grow from 100 million to 200 million users despite less favourable market conditions.

About Binance
Binance is the world’s leading blockchain ecosystem and cryptocurrency infrastructure provider with a financial product suite that includes the largest digital asset exchange by volume. Trusted by millions worldwide, the Binance platform is dedicated to increasing the freedom of money for users and features an unmatched portfolio of crypto products and offerings, including trading and finance, education, data and research, social good, investment and incubation, decentralisation and infrastructure solutions, and more. For more information, visit https://www.binance.com/en

Risk Warning: Digital asset prices are subject to high market risk and price volatility. The value of your investment may go down or up, and you may not get back the amount invested. You are solely responsible for your investment decisions and Binance is not liable for any losses you may incur. Past performance is not a reliable predictor of future performance. You should only invest in products you are familiar with and where you understand the risks. You should carefully consider your investment experience, financial situation, investment objectives and risk tolerance and consult an independent financial adviser before investing. This material should not be construed as financial advice. For more information, see our Terms of Use and Risk Warning.

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