COWRIE, the first cryptocurrency founded by an African monarch, targeting grassroots communities has launched in South Africa. It signifies a potentially seminal moment in the trajectory of the country, as COWRIE converges the fields of Web3; Fintech and 4IR to confront our increasingly notorious ‘triple challenge’ of poverty, inequality and unemployment.

The King’s vision

Driven by the desire to uplift his people, His Majesty King Makhosoke II of the AmaNdebele Nation approached COVID-19 Business Rescue Assistance (COBRA) to explore the use of blockchain and mobile technologies to give effect to his vision. Mindful of the need to safeguard people from potential crypto scams, King Makhosoke II tasked leading blockchain attorneys, Schindlers Attorneys along with Virtual Nation Builders, a local Web3 company, to develop the COWRIE project.

“A glimpse of the possibilities offered by the digital realm through virtualisation was evidenced earlier this year following the auctioned sale of the world’s first heritage non-fungible token (NFT) of Nelson Mandela’s warrant of arrest,” explains Maurice Crespi, partner at Schindlers Attorneys and CEO of Virtual Nation Builders.

The Mandela arrest warrant NFT, which was scanned and modelled by Virtual Nation Builders, sold for R1.9-million and the proceeds from the sale will be used to keep open the doors of the heavily indebted Liliesleaf Farm and Museum, a key South African heritage site. The Liliesleaf case study highlights the tangible and transformative effects that blockchain technology can have when applied to the South African context.

VIP sale and official launch

In homage to the father of the nation, Nelson Mandela, the exclusive VIP sale of the COWRIE went live on 18 July 2022, Mandela Day, and will continue until 23 September 2022. During this period, the sale of the COWRIE will be restricted to individuals with a valid South African identity document. The official launch will take place on 24 September 2022, Heritage Day. Whereafter, the COWRIE will also be made available to foreign investors and institutions. 

“South African culture, heritage, wildlife and landscapes have marvelled the world since time immemorial. Digitising our real environment, through land tokenisation, art and heritage NFTs, cryptocurrency, e-commerce, virtual reality and other emerging technologies may unlock millions of unpenetrated opportunities for our local people. However, for this to be achieved we must act with integrity, radical transparency and a commitment to protecting the interests of our people at all times,” says, His Majesty King Makhosonke II.

In a global first for crypto, during the VIP sale (18 July - 23 September), all purchases of the COWRIE will be protected by the Stay Safe Protection Program. Through this COWRIE owners can, at any time from 24 September 2022 to 24 September 2025, get a full refund. Regarding the Stay Safe Protection Program, the monies are paid into an Escrow managed by Schindlers Attorneys and regulated in terms of an Escrow Agreement.

“This good faith pledge that COWRIE and its founding partners are making is done to honour the wishes of King Makhosoke II, to inspire confidence in this offering and mitigate risk for the numerous South Africans who may be purchasing their first digital financial asset,” continues Crespi.

The VIP launch price for the COWRIE has been deliberately set at 60 cents per COWRIE, with a minimum buy-in of R18 and a maximum buy-in of R15 000, ensuring that all South Africans have access to this endeavour.

Democratising crypto and overcoming the digital divide was imperative, given the target audience of grassroots communities. For these reasons, the COWRIE can be purchased conveniently through multiple channels, including via mobile USSD, online website, a 1Voucher from any Flash Merchant such as PEP, Ackermans and direct internet EFT.  

New DAWN of crypto

COWRIE is the new DAWN of crypto, Democratising and Aiding Welfare Needs of the communities in South Africa and a timely response to the growing necessity to develop an incorruptible self-regulated financial instrument across Africa.

“The COWRIE’s association with recognised traditional leadership is not simply a marketing gimmick or pandering, but rather a key element of this project which seeks to celebrate the digital transformation of Africa’s rich culture,” adds Zakhele Mthethwa, royal economic advisor to King Makhosoke II.

For example, the Kingdom Community Trust was established with the explicit intention of holding and dispersing the proceeds of the VIP sale to support local community initiatives. Critically, every year 30% of the COWRIE will be released to this Kingdom Community Trust and utilised to uplift grassroots people through different projects such as the COWRIE gifting program, COWRIE legal resource centre, VNB EDU HUB and others.

“Through COWRIE we want to dispel the preconception that crypto is esoteric and only for the wealthy and tech-savvy. We plan to use it as a vehicle for the upliftment of the communities in South Africa in a democratised and transparent fashion,” concludes Crespi.

Visit MyCowrie.org to learn more.