Africa Launches Its First Bitcoin Treasury Company

JOHANNESBURG, South Africa — Africa has welcomed its first Bitcoin treasury company as the Africa Bitcoin Corporation (ABC) began trading on the Johannesburg Stock Exchange. Launched by South Africa’s Altvest Capital, the company aims to attract billions of South African rand from capital markets while emphasizing Bitcoin’s potential in grassroots and retail adoption across the continent.

ABC’s long-term goal is to raise $210 million to purchase Bitcoin through preferential share offerings and structured debt notes, similar to the UK’s Smarter Web Company. In an exclusive interview on live X, ABC’s chairman Stafford Masie and CEO Warren Wheatley discussed the company’s mission and vision.

“In Africa, when financial services don’t work, people die. We live that reality,” Masie said. He emphasized that their approach to Bitcoin stems from a necessity for survival and better financial solutions in the continent’s economic climate.

Historically, ABC has helped entrepreneurs and small businesses gain access to capital through JSE-listed instruments. Wheatley explained that their goal is to address the “dysfunction” within global capital markets, particularly impacting smaller players who often struggle to attract investment.

Wheatley describes Bitcoin as a “natural evolution” for the company, framing it as the “ultimate alternative asset” that can enhance the company’s financial stability. By holding Bitcoin, ABC hopes to support South African small enterprises by providing Bitcoin-backed financial services, including credit and savings products.

Masie pointed out that in developed regions, Bitcoin is often viewed merely as an investment. However, in many developing countries, it serves as a crucial medium of exchange and a store of value. “Debasement is very real for us,” Masie added, highlighting that the rising costs of essentials reflect systemic monetary issues rather than political problems.

With challenges like political uncertainty and inflation, Masie noted that the underlying issue is the weakening currency. “The money is broken, not the society. Your groceries are not getting more expensive; the money is getting weaker,” he said.

For ABC, the Bitcoin initiative transcends a mere financial opportunity; it tells a significant human story. “If we can get this right, we can solve many problems inherent to Bitcoin’s value,” Masie stated, underlining Bitcoin’s potential for improved monetary preservation in South Africa.

ABC has announced Phase 1 of its Bitcoin strategic reserve, having raised 11 million rand (approximately $633,000) thus far. The company aims to reach a total fundraising goal of $11 million in this initial phase.