Cryptocurrency Payments Surge in South Africa,Reaching R34 Million in One Year
JOHANNESBURG - Cryptocurrency is rapidly gaining traction as a method of payment in South Africa,wiht transaction volumes exceeding R34 million processed through Luno Pay alone since its launch in November 2024. Data reveals a growing acceptance of digital currencies for both everyday purchases and high-value transactions, signaling a significant shift in teh country’s financial landscape.
Christo de Wit, Luno country manager for South Africa, notes a gradual evolution is expected, with merchants increasingly agreeable holding a mixed portfolio of crypto and fiat currency. “Holding crypto can offer advantages like faster cross-border settlements and protection against currency volatility,” De Wit said.
Luno Pay has already processed over 53,000 completed payments across more than 1,900 merchants, with 70% of users being repeat customers. Transactions range from small purchases like a loaf of bread at Pick n Pay to expenses totaling tens of thousands of rands.
simultaneously occurring, VALR processed over $15 billion (R257.5 billion) in stablecoins through its infrastructure in the past year. VALR’s European entity is now the largest minter of USDC with Circle EU and ranks among the top 10 USDC minters globally, having minted over $2.5 billion (R42.9 billion) in USDC last year. While USDC minting is substantial, VALR reports larger trading volumes for USDT.
Both Luno and VALR executives highlight the significant opportunities within the crypto payments space, with VALR’s infrastructure already supporting major financial institutions across Africa and a surge in requests to assist others in building their own crypto capabilities.
