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Cryptocurrencies:
Colonialism or Upliftment? The business world has moved beyond the idea that if it isn’t made of bricks and mortar, then a company has no value. The classic illustration of this principle is that of Uber, which despite being one of the largest transport organisations in the world, actually owns no vehicles. “When one looks at it like this, there is no real reason for the financial services and capital markets to be any different. After all, the aim of the game, whatever the industry, is always Fay Mukaddam of 4AX to see how we can; encourage the dissects the inclusion and participation of as many cryptocurrency people as possible within financial conundrum markets, and make things simpler for t is quite clear that we are developing the client or end-user, using available into a society that is completely technology,” says Mukaddam. driven by information and reliant on “With this in mind, there is both technology. As we evolve along this room and a need for a platform like path, those that succeed will be those Blockchain, which we believe offers who are able to equip themselves to enormous potential not just to the handle this future by grasping the fact financial sector, but to industries that the entire paradigm has shifted across the spectrum. Of course, the significantly, believes Fay Mukaddam, one that is most often talked about CEO of 4AX. in finance is cryptocurrencies, which
The rise of cryptocurrencies has both positive and negative implications for Africa, and the world. How their use is managed will determine how well they benefit those most in need Edited by: Matthew Staff
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is ultimately nothing more than an application built on top of Blockchain technology,” she adds. There are a lot of conflicting opinions across global markets as to the benefits cryptocurrencies may offer. Mukaddam believes that, “before we can truly attribute value to it, we need to both understand what it does and how it may improve things. We also need to contemplate the fears and anxieties it raises, such as the concern around moving large values across borders in a situation where there is no regulatory control”. Mukaddam is of the opinion that there is certainly more value to be gained from such technologies than there are things to be feared: “The answer most likely lies in managing it and contextualising it properly. The regulators certainly need to approach it from this angle, rather than from a point of fear and anxiety; as the latter will only lead to them wanting to shut it down. “From an African perspective, I