Pick n Pay’s November 2022 pilot for the implementation of the bitcoin payment option yielded positive moves as the South African-based retailer, in collaboration with CryptoQR, will now allow customers to pay with bitcoin.
According to Business Insider South Africa, Pick n Pay operates more than 2,000 outlets across the country. The survey reveals that the company has a market share of 16% of the formal food and grocery business in the country.
Existing customers will also be able to use bitcoin to pay utility bills such as electricity, airtime, municipal bills, and bus tickets.
This development blurs the thick lines between spending bitcoins and holding them for speculative reasons; also does bitcoin an attraction payment option for many South Africans. However, this does not happen because Pick n Pay had previously hinted at the possibility of charging $0.04 worth of bitcoin.
A feel for the South African crypto climate
The South African authorities have not been the friendliest towards cryptocurrencies; In October 2022, the South African Financial Sector Conduct Authority (FSCA) published a notice updating and directing its existing Financial Advisory and Brokerage Services Act of 2002 to treat cryptocurrencies as a financial asset.
The need for regulation may have something to do with South Africa’s thriving bitcoin market. This is due to estimates by the international exchange Luno that 13% of the country’s population owns some cryptocurrency.
On January 23, 2023, the South African Advertising Regulatory Board (ARB) published a revised code of advertising practices for participants in the cryptocurrency industry. Advertisements should note that investing in bitcoin (BTC) and other cryptocurrencies is dangerous and may result in loss of money under the new regulations.
