A new partnership enables crypto payments at Shoprite, Makro, Vodacom and more, with instant settlements.
Shoppers in South Africa can now scan QR codes to pay with crypto at nationwide retail stores.
Photo Credit: Unsplash/Eswatini Photography
Customers in South Africa can now use cryptocurrency for everyday purchases at nearly 700,000 retail outlets across the country, due to a new partnership between Luno Pay and the Scan to Pay network, facilitated by MoneyBadger. Customers can now pay with Bitcoin and stablecoins at major chains like Shoprite, Checkers, Makro, and Vodacom, with the help of this integration. Since transactions are settled instantly, consumers have easier access to cryptocurrency-based payments across South Africa, and hence, the merchants are protected from volatility risks. This decision marks one of the largest retail expansions for crypto payments in Africa to date.
The payment process works by linking a user's crypto wallet to the Scan to Pay system, allowing shoppers to complete transactions by scanning a QR code at checkout. Before the money reaches the merchant, it is converted to South African rand as part of the backend settlement process. MoneyBadger says that the setup removes the exposure to crypto price fluctuations for retailers while preserving the benefits of digital asset payments for customers.
Crypto adoption in the retail sector has been growing steadily worldwide. While Turkey is considering anti-money laundering rules, giving regulators the authority to freeze questionable cryptocurrency accounts, El Salvador became the first nation to accept Bitcoin as legal tender.
Vietnam has taken symbolic steps with projects like a proposed Satoshi Nakamoto statue, and Ukraine has moved closer to formal legislation recognizing digital assets. Collectively, these developments indicate how governments are experimenting with approaches to integrate cryptocurrencies into mature economies.
South Africa's regulatory environment has also been shifting. The Financial Conduct Authority (FSCA) classifies crypto assets as financial products, bringing them under the purview of financial regulations. As a result, local service providers must apply for licences and adhere to anti-money laundering regulations.
Since money transfer and digital payments are already vital to the African economy, the partnership between the partnership between Luno Pay, MoneyBadger, and Scan to Pay may signal an enormous shift in the country's use of cryptocurrencies. By enabling widespread access to crypto-based transactions in everyday retail, these companies could use South Africa as a testing ground for broader integration of digital assets into financial systems across the country.
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