For decades, Uganda has been one of the poorest countries in the world, with a starved economy performing at a fraction of its full potential. However, that might be about to change: International cryptocurrency exchange giants Binance have announced its intention to work with a local crypto startup, promote blockchain technology, and help kick-start the Ugandan economy.
On Tuesday (April 24) Binance CEO Changpeng Zhao announced on his Twitter page that his company intends to work with local Ugandan blockchain-based cryptocurrency Savannah, which should create synergies and help kick-start the long-suffering Ugandan economy.
@binance will partner with @cryptosavannah @AggieKonde @HelenHaiyu to support Uganda’s economic transformation and youth employment through blockchain, embracing the 4th industrial revolution. We will do this by creating thousands of jobs and bringing investments to Uganda.
— CZ (@cz_binance) April 22, 2018
It was the first of what has been a whole series of tweets and images that have charted the rapid progress that Binance have already made on this project, with a Binance team including the company’s CEO already in Uganda. If this liaison proves successful, it should generate a lot of money and create many jobs. The exact timetable is not fixed yet, because the project is still in its infancy, but Binance and Savannah are 100% committed to this project. As stated, Zhao himself has since traveled to Uganda to meet representatives of Crypto Savannah to discuss the way forward (pictured above).
Who Are Binance?
Binance are a China-based cryptocurrency exchange which allows for crypto to crypto, fiat to crypto and crypto to fiat financial exchanges. Although only founded in 2017, Binance are already regarded as a true heavyweight, and in terms of traffic are already the no.1 cryptocurrency exchange in the world.
Binance’s incredible popularity is in no small part due to the simplicity of its user-interface, its low trading fees, and its large number of Initial Coin Offering listings. Binance also lends itself extremely well to “on-the-road” crypto trading due to its strong mobile site, which works perfectly with any mobile device, such as a tablet or a smartphone.
Binance has the capacity to handle 1.4 million crypto-transactions PER SECOND, and has 6 million regular users
Who Is Changpeng “CZ” Zhao?
The CEO of Binance is Changpeng Zhao – who likes to be called CZ. Zhao was born 41 years ago in Jiangsu, China, the son of a professor father and school teacher mother. The Zhao family emigrated to Canada in the late 1980s, and like many Chinese since, settled in Vancouver. It was at Vancouver’s McGill University that CZ gained his degree in computer science, then cut his teeth working in the New York and Tokyo stock exchanges, designing software for Futures trading.
Despite huge and rapid success in that field (within two years he was running his own teams in London, New York and Tokyo) Zhao wanted more, so in 2005 he quit and moved to Shanghai, where he founded Fusion Systems, which built high-frequency trading systems for brokers worldwide.
Then, in 2013 Zhao learned about Bitcoin during a game of poker with a friend, and the rest is history. Four years of hard work and intense focus followed, before the 2017 launch on Binance. Zhao had to attract $17 million of investment to get his project off the ground, but it has paid off handsomely, and CZ himself is now worth between around $1.5 billion.
The bottom line is that wherever CZ has focused his expertise, his energy and commitment, that company or project has benefited hugely, which bodes very well for Crypto Savannah and Uganda.
Who Are Crypto Savannah?
Crypto Savannah – also known as the less catchy “Blockchain Association of Uganda” – is a nonprofit organization that promotes blockchain technology in its own country. Crypto Savannah want to advance its research in the blockchain, and ultimately turn Crypto Savannah into a source of revenue for Uganda. In addition, Crypto Savannah intends to lend its support to other blockchain projects within the African sector.
Would The Blockchain Work In Africa?
Many people on the African continent have no access to banks and are thus completely cut off from the financial system of their country. Members of African families often work abroad, and regularly send money back to their former city, town or village so that local people have a better life. That money is then in the hands of local banks, which are rife with corruption, often resulting in the family in question receiving little if any of the sent money.
With the adoption and implementation of blockchain technology in Africa, large numbers of people would easily gain access to a financial system, and therefore could easily receive and send money using blockchain technology allied to a cryptocurrency such as Bitcoin, Ethereum or Ripple, which would be corruption-proof.
Uganda is one of the poorest countries in the world , with a population of nearly 42 million people, the majority of which live below the poverty line. Despite that, the country is finally emerging from decades of harsh rule by dictator Robert Mugabe, and there is a sense of optimism for the future.
Hopefully, the support of Binance in conjunction with Crypto Savannah will not only brings jobs and money into the country, but will also promote the proliferation of cryptocurrencies in Uganda and Africa, and grant people access to financial resources that are not controlled by corrupt, government-controlled banks.
We believe that this cooperation should be used as a model to give people around the world access to financial resources and ultimately to exploit the opportunities offered by blockchain technology in the right places in our world.