Golix exchange is a Zimbabwean cryptocurrency exchange. And currently, according to Nhlalwenhle Ngwenya, about $100,000 worth of bitcoin (BTC) is traded each month at every Golix exchange in South Africa, Uganda, Tanzania, Kenya, Nigeria, Rwanda and Cameroon. That’s an average of 0.5 BTC per day at current values.
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Golix Exchange: Issue of Low Volume
The Zimbabwe headquartered cryptocurrency exchange is facing difficulty to grow volume in it’s new markets.
Talking about the low volume, the company’s director of communications Nhlalwenhle Ngwenya, said: “Our daily volume in each of the 7 countries we are in today is still very low,” he added, “The volume is low because we’re still a new exchange there (new countries) – just about 2 months old,” and “It takes time to grow volume on an African exchange because we don’t have a lot of day traders or market markers in this part of the world. But we’re growing every month,” he said.
Possibly Challenges Faced By Golix exchange
Golix only enjoys monopoly crypto trading in Zimbabwe. Other territory that Golix is entering are not virgin territory – they are established, competitive crypto markets, with dedicated clients there.
For example, we have the likes of Coinpesa in Uganda, Luno in South Africa or Bitpesa in Kenya. Luno is already a big one in the African continent as far as cryptocurrency is concern. Luno has operations in 40 different countries and averaged $2.3 million, or 367 BTC, worldwide.
However, even with those possibly challenges encountered by Golix, Ngwenya, the Golix director of communications, is optimistic fortunes will change.
“To give you some background about us, our exchange has been live since September 2015 but we’ve only been running in Zimbabwe. We stopped operating in Zimbabwe three months ago because of regulatory problems,” he says in the Telegram post.
“When we stopped operation we had a little over 50k customers and were doing a volume of US$7 million. We grew these numbers over a couple of years. Throughout our existence (since September 2015), our volume has always doubled every three months,” said Ngwenya.
Do you see Golix getting big as Luno is in Africa overtime?