OKAY, everyone is talking about Bitcoin trading and many are wondering whether it is not just another pyramid scheme.
Bitcoin or cryptocurrency is a decentralised virtual currency created from a computer code in the wake of the 2008 global financial crisis.
Unlike a traditional currency such as the rand or euro bitcoin has no central bank.
Khulu Mashologu (33) of Joburg is in that space and happily in the cryptocurrency world.
“I started trading in coins in 2016 and I am happy. This is a financial revolution that no one will stop,” she says.
Mashologu says she uses her Bitcoin to pay for everything.
“This is a new way of bartering, as the world is now shifting from paper money and plastic cards to virtual money,” she says.
As the landscape for cryptocurrencies takes shape in Mzansi and the African continent, SunMoney thought it was time to educate you on cryptocurrencies as more people are seeing it as an opportunity to invest.
Thanks to AltCoinTrader, one of Mzansi’s leading cryptocurrency exchanges, we can get some answers.
Formed in 2015, AltCoinTrader boasts that it has the most cryptocurrencies on its portfolio that can be bought directly. At present it has 21 coins, with more additions expected to be included in future.
AltCoinTrader senior partner Richard de Sousa says the company ensures people are not left behind.
He says the biggest challenge across Africa is access to cryptocurrencies that can be bought easily with cash.
De Sousa says one must consider a number of things when choosing a credible exchange. These include credibility, years in service, operations, support and security.
At present, South Africans have to declare Bitcoin as capital gains tax. But the minister of finance has issued communications to include Bitcoin in 2019 tax forms.
He says security is important and exchanges do their best to ensure internal safety measures.