Africa’s first blockchain incubation

Crypto Valley Venture Capital, a Swiss blockchain investor, has recently launched its first incubation hub in Africa, specifically in Cape Town, South Africa. The move signifies a significant step towards creating an ecosystem for startups in Africa that will harness the power of blockchain technology to drive transformation across the continent. In an exclusive interview with CNBC Africa, Gideon Greaves, the Managing Director for Africa at Crypto Valley Venture Capital, shed light on the reasons behind choosing Africa, Cape Town, and the potential impact of blockchain technology on the region. Greaves revealed that the decision to establish the incubation hub in Cape Town was part of a strategic initiative that started last year with a public-private partnership with the Swiss government. The focus was on building a robust blockchain technology ecosystem in South Africa with a broader pan-African perspective. He emphasized that while developed markets are predominantly focusing on speculative assets in the crypto economy, Africa presents real-world use cases that showcase the true potential of blockchain technology in emerging markets. Cape Town, known for its vibrant tech ecosystem and as a hub for tech startups, was the perfect choice for the incubation hub. Greaves highlighted the recent success story of a Canadian startup relocating its headquarters to Cape Town after raising $10 million, further underscoring the city's appeal as a gateway into Africa. One of the key points discussed during the interview was the distinction between speculative assets like Bitcoin and Ethereum and the utility-driven use cases emerging in Africa. Greaves pointed out that while some startups globally focus on raising capital at significant valuations based on concepts and pitches, African startups are demonstrating tangible applications of blockchain technology and utility for cryptocurrencies. He highlighted the importance of sound tokenomic models and real-world utility in driving adoption and reducing volatility. The conversation then shifted towards the potential of blockchain technology to address developmental challenges in Africa. Greaves shared a compelling example of a startup in Nigeria, Cast Africa, that uses blockchain to verify property ownership and combat property fraud. This innovative approach not only streamlines property transactions but also enhances transparency and trust in the real estate sector. In South Africa, blockchain has the potential to revolutionize processes like tender procurement by enabling end-to-end tracking of transactions and ensuring accountability. In conclusion, Greaves emphasized the transformative power of blockchain technology in Africa and the role of Crypto Valley Venture Capital in supporting and nurturing blockchain startups on the continent. The launch of the incubation hub in Cape Town marks a significant milestone in the journey towards leveraging blockchain to drive innovation and address societal challenges in Africa. With a collaborative ecosystem involving academia, government, regulators, corporates, investors, and startups, Crypto Valley Venture Capital is well-positioned to unlock the vast potential of blockchain technology across the continent.