The Egyptian economy struggles to find its feet as a result of the global pandemic, individuals are turning to Bitcoin trading to pad their income. With unemployment worsening, investing, trading and mining the cryptocurrency has become popular amongst Egyptians as a source of revenue.
As reported by Middle Eastern media outlet, AL-Monitor, the interest in Bitcoin and cryptocurrency in Egypt has exploded. This is especially among younger individuals. Bitcoin mining and trading expert Muhammad Abd el-Baseer indicated that the spike in Bitcoin mining in the region is likely as a result of the rapid shift from traditional office-based careers to the pandemic-resultant curfews and online work. This has led to Egyptians looking to online opportunities to invest their spare time under lockdown. He noted:
“The increasing number of Bitcoin miners and traders is a global phenomenon that has been one of multiple factors behind an increase in demand for bitcoins, and by extension the rise in the price of the currency itself. This allowed those who obtained it during the past year or the first months of this year at prices lower than the current one to reap unprecedented profits, and many Egyptians are eyeing these levels of profits through their investment in cryptocurrencies.”
Making profit from Bitcoin mining after the halving
Despite the fact that Bitcoin price has increased and that the rewards for mining the cryptocurrency halved earlier this year, the individuals in Egypt are still turning a profit from Bitcoin. Egyptian financial advisor and economist Wael al-Nahhas offered:
“Many young Egyptians started investing in small amounts despite the increase in the value of the bitcoin. They started mining Satoshi, which is 100 millionth of a Bitcoin, and on a daily basis they are making profits of 4% to 5% from the difference between buying rates during the timing of demand decline and selling rates at the time of peak demand, besides some quarterly or yearly profits from unexpected hikes in Bitcoin rates.”