Africa’s crypto market continues to expand rapidly—but so do the risks. New data shows the continent loses over $88.6 billion annually to illicit financial flows, a figure that includes growing crypto-linked fraud, hacks, and scam operations.
As adoption accelerates, regulators from South Africa to Kenya are raising red flags and tightening cybersecurity requirements for crypto platforms.
Rising Threat: Scams, Phishing & Fake Investment Platforms
Industry watchers report a surge in:
- Phishing schemes targeting new crypto investors
- Ponzi-style “high return” projects
- Fake stablecoins and imitation tokens
- Unauthorized investment apps
- Account breaches through weak passwords or unsecured wallets
With crypto now more mainstream, scammers are exploiting the onboarding wave of inexperienced users.
See more related: Raila Odinga’s “Kenya Token” Deepfake Sparks Crypto Scam Fears in Kenya
Regulators are Responding Fast
African regulators are shifting from passive observation to active enforcement:
- Kenya is introducing stricter licensing rules for exchanges under its new regulatory framework
- Ghana is rolling out digital-asset compliance guidelines under the BoG
- South Africa’s FSCA now requires full cybersecurity audits from all licensed crypto service providers
- Nigeria is tightening oversight on VASPs following several scam outbreaks
The goal: create a safer, more structured market that encourages innovation while reducing consumer harm.
Why Cybersecurity Is Becoming Non-Negotiable
Crypto adoption in Africa is being driven by remittances, inflation hedging, savings alternatives, SMEs, and digital-commerce payments.
But without robust cybersecurity:
- User funds remain vulnerable
- Trust declines
- Adoption slows
- Regulators crack down harder
Platforms in Africa must now prove they can secure customer assets with strong compliance, encryption, custody, and audit processes.
A Safer, More Mature Crypto Market Ahead
While cyber risk remains a challenge, the coordinated push by governments, banks, and licensed exchanges suggests a more mature ecosystem is emerging—one that blends innovation with safety.
Africa’s next wave of crypto growth will be powered by trust and security, not hype.
