The African Union promotes a currency revolution, and PAPSS launches a dollar-free trade platform.

Gate News bot message, according to Bitcoin News, the Pan-African Payment and Settlement System (PAPSS) has launched the African currency market, which is an important step in reducing Africa's reliance on the US dollar for internal trade settlements. The initiative is jointly launched by the African Export-Import Bank, the African Union Commission, and the Secretariat of the African Continental Free Trade Area, aiming to simplify the cross-border payment process using local currencies, marking a significant step forward in the financial integration process of the African continent.

According to reports, the platform supports initiating and completing transactions entirely in local currency, without the need for foreign currency exchange. PAPSS CEO Mike Ogbalu stated that these settlements "do not involve hard currency." The system operates in real-time around the clock, ensuring transactions are completed within minutes. It utilizes an integrated network composed of 16 central banks, over 150 commercial banks, and 14 national exchanges.

This efficiency is particularly important for large African companies (such as airlines and industrial groups), as foreign exchange restrictions and currency depreciation pose significant challenges in repatriating funds. Ogbaru emphasized that there are currently over $2 billion in funds "stuck in" African countries where airlines operate, highlighting the urgent need for such solutions.

The African currency market aims to reduce payment friction, enhance operational security, and strengthen the monetary sovereignty of African countries. To this end, PAPSS collaborates with Interstellar, the first pan-African blockchain infrastructure provider founded by Ernest Mbenkum. Interstellar utilizes the Bantu Network, a unique African blockchain that supports a comprehensive Know Your Customer (KYC) system and manages up to 43 African coins.

Since the establishment of the West African Currency Zone, PAPSS has expanded its network to 16 countries and plans to cover the entire African continent. The launch of the African currency market comes at a critical moment as e-commerce in Africa is experiencing exponential growth.

However, this release may also anger U.S. President Trump, who previously threatened to punish countries participating in de-dollarization. The article states that Trump vowed to block U.S. markets and impose a 100% tariff on those countries that "do nothing." These threats prompted a statement from South Africa, a key member of the BRICS nations, denying that it actively encourages some countries to abandon the dollar.

Despite facing threats from the United States, PAPSS continues to promote measures that allow African traders to use their respective local currencies for cross-border transactions. This African currency market initiative is not aimed at competing with existing financial institutions but seeks to collaborate with banks, fintech companies, and regulatory bodies to create a fully integrated African currency market.