Why not strategic beef reserve?
The question of the governor of the South Africa Reserve Bank (Sarb), “Why not strategic beef reserve?” The 2025 World Economic Forum in Davos was perhaps rhetorical, but the apparently sarcastic remark by Lesetja Kganyago about “Strategic Bitcoin Reserves” underlined the need for Africa to rethink its economic strategies in the face of global financial changes. In a world that is increasingly defined by digital transformation, the concept of money and value memory quickly develops. Africa is no stranger in remaining -based economies. From oil to gold, beef to cocoa, the continent has long rely on natural resources for economic food. However, these goods are challenged. The global raw material prices are very susceptible to market fluctuations, geopolitical tensions and climate change. For example, the price of beef can swing dramatically due to outbreaks of illness or trade restrictions, just as the value of Fiat currencies vibrates and remains unpredictable if they are traded against digital assets such as Bitcoin due to regional financial policy and the deviation of currencies. After Food and agricultural organization (FAO)Present Beef prices have experienced a volatility of up to 30% compared to the previous year due to factors such as mouth and mouth diseases and export bans.
Image source: Fao
Although Brian Armstrong, CEO of Coinbase, answered with a convincing argument on Kganyago’s question: Bitcoin is not only a better form of money than gold, it is also more portable, divisible and useful. In the past ten years, Bitcoin has exceeded every important asset class and consolidated its position as a superior value memory. For Africa, a continent that was often marginalized in the global financial system could a strategic Bitcoin reserve The key to the development of economic independence, to promote innovations and to secure long-term prosperity. How?
It is time to be objective and realistic in our comparison. Bitcoin exists digitally and does not require physical storage. Raw materials such as beef and mutton are perishable and expensive. The World Bank estimates that losses for agricultural products in Africa are $ 48 billion in Africa and highlight the inefficiency of raw material reserves. While raw materials have an intrinsic value, their benefits are limited to certain industries. Bitcoin, on the other hand, is a global, limitless capital with applications in finances, technology and beyond, while its unique properties make it an ideal candidate for strategic reserve assets. With a limited supply of 21 million coins, Bitcoin is naturally deflationary, in contrast to Fiat currencies, which can be printed with endless reproductive mechanisms for an indefinite period or beef. According to CoinmarketCap, Bitcoin’s market capitalization rose from less than 1 billion to over 1 trillion in 2025 in 2013, which demonstrates its rapid acceptance and appreciation.
Image source: Coinmarketcap
Why Bitcoin about beef?
Bitcoin can be transferred across borders within minutes and divided into smaller units (Satoshis), which is more practical than gold or beef. In the past ten years, Bitcoin has achieved an average annual return of over 200%and exceeded gold, shares and real estate. A study by Fidelity investments showed that the risk-minded returns of Bitcoin of traditional assets are superior, which makes it an attractive option for long-term preservation of prosperity. Worldwide, nations recognize Bitcoin’s potential as a reserve assets. El Salvador wrote history in 2021 by accepting Bitcoin as a legal offer, while countries like Switzerland and Singapore Bitcoin have integrated into their financial systems. This is 2025 and the US legislation “Strategic Bitcoin Reserve” is already in the pipeline. According to a report by Chainalysis from 2023, Africa is one of the fastest growing cryptocurrency markets, with Nigeria, Kenya and South Africa to adopt.
The deflationary nature of Bitcoin makes it effective protection against inflation that many African economies plagued. For example, Nigeria’s inflation rate reached 34.80% in 2024 and eroded the value of the Naira. A Bitcoin reserve could protect national assets from such a devaluation. By assigning only 1% of his reserves to Bitcoin, Africa could unlock billions for added value. If, for example, the combined currency reserves of the continent of 500 billion Bitcoin included 5 billion bitcoin, a 10 -fold appreciation worth the value of Bitcoin would achieve 50 billion US dollars for returns. In contrast to beef production, which contributes to deforestation and greenhouse gas emissions, Bitcoin mining can be powered by renewable energies. According to the Cambridge Bitcoin Electricity Consumpt, 58.5% of the global Bitcoin mining will be powered by renewable energies from 2021. Africa’s huge solar and hydropower potential for sustainable Bitcoin mining companies makes it an ideal location for sustainable Bitcoin mining processes. Saving and managing Bitcoin reserves is far more cost-effective than maintaining the raw material reserves. There are no storage costs, no disagreement and no complex logistics.
Image source: Central bank of Nigeria.
El Salvador’s acceptance of Bitcoin as a legal offer offers valuable insights into Africa. Despite initial skepticism, Bitcoin has increased tourism and foreign investments in El Salvador. According to the Central Reserve Bank of El Salvador, tourism revenue rose by 30%in the first year after Bitcoin was introduced. Over 70% of Salvadorans previously had no access to banking services. Bitcoin made it possible to participate in the global economy. By reducing the dependency on the US dollar, El Salvador has taken a brave step towards financial independence. Many African nations rely on the US dollar for trade and reserves, so that they are susceptible to external economic policy. Bitcoin offers a decentralized alternative and reduces the dependence on traditional financial systems.
By setting up a strategic Bitcoin reserve, Africa can secure its economic future, protect its prosperity from inflation and position itself as the world’s leading provider in the digital economy. It is time for Africa go beyond outdated economic models and accepts the future of money. As Brian Armstrong said aptly, Bitcoin is not just a better form of money. It is the basis of a new financial paradigm. For Africa, the choice is clear: Bitcoin, not beef, is the way to prosperity. Bitcoin represents a transformative wealth class that offers incomparable advantages over traditional raw materials such as beef or mutton.
This is a guest contribution from Heritage Falodun. The expressions expressed are entirely their own and do not necessarily reflect the BTC INC or Bitcoin magazine.
