As the COVID-19 pandemic pushed the Egyptian economy into recession and worsened unemployment, more and more Egyptians are seeing the benefits of trading and mining Bitcoin as an alternative source of income.
According to Al-Monitor, many Egyptians, especially young people, are interested in cryptocurrencies. Wael Al-Nahhas, an economist and financial advisor to several investment institutions in Egypt, said:
Many young Egyptians are starting to invest small sums despite the increasing value of Bitcoin. They start extracting Satoshi, that is, 100 million Bitcoins, and they get a daily profit of 4% to 5% of the difference between buying prices during low demand and selling prices during peak demand, along with some quarterly or yearly gains. Unexpected Bitcoin price. ”
New figures from the Central Agency for Public Mobilization and Statistics say that unemployment in Egypt jumped from 7.7% in the first quarter of 2020 to 9.6% in the second quarter, which means that more than half a million Egyptians have lost their jobs.
Then Bitcoin trading looks very attractive.
Mohamed Abdel-Bazir, a miner and a member of the Bitcoin Egypt community, said that there were other factors that also made it easier for people to switch to Bitcoin. He said moving home reduced working hours, and the new curfew prompted many Egyptians to invest in bitcoin in their spare time. It is estimated that more than 16,000 Egyptians have joined the Bitcoin Egypt community. However, he suggested that this number could be higher because people can teach their friends and family to invest in cryptocurrencies.
But while more and more Egyptians are interested in mining and trading cryptocurrencies, many are concerned that people may fall victim and accused of fraud without proper legislation. According to experts, it could be a law that clarifies what actions can be considered legal or related to cryptocurrencies.