Crypto Infrastructure Gains Momentum as Global Digital Connectivity Expands

Generated by AI AgentAnders MiroReviewed byAInvest News Editorial Team
Tuesday, Oct 28, 2025 12:08 pm ET2min read
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Aime RobotAime Summary

- Meta and Safaricom's $2.9B Daraja Project deploys a 4,108km undersea cable to boost Africa's digital infrastructure and DeFi adoption.

- The high-capacity fiber network addresses Kenya's internet reliability issues, enabling 5G expansion and blockchain-based financial platforms like Kotani Pay.

- By positioning Kenya as a regional digital hub, the project supports $205B in Sub-Saharan on-chain transactions while aligning with Meta's global connectivity goals.

- Despite regulatory and cost challenges, the infrastructure lays groundwork for decentralized finance growth across underbanked African markets.

The convergence of digital infrastructure and blockchain technology is reshaping Africa's economic landscape, with MetaMETA-- and Safaricom's $2.9 billion Daraja Project serving as a catalyst. This ambitious initiative-a 4,108-kilometer undersea fiber-optic cable connecting Mombasa, Kenya, to Oman-aims to address critical gaps in internet speed, latency, and reliability. By doing so, it lays the groundwork for a new era of decentralized finance (DeFi) and blockchain adoption across the continent.

A Digital Bridge to the Future

The Daraja Project, funded entirely by Meta's Edge Network Services Limited, is a cornerstone of Kenya's Vision 2030 strategy to transition from a telecom-centric model to a full-fledged tech ecosystem, according to The Star. With 24 fiber pairs-far exceeding the 8–16 fiber pairs of older cables-the new infrastructure will support 4G, 5G, and fixed broadband expansion, reducing Kenya's vulnerability to outages caused by aging systems like SEACOM and EASSy, as Tech Ish reported. Safaricom CEO Peter Ndegwa has called it a "milestone," emphasizing its role in meeting surging demand for low-latency connectivity, which is vital for cloud adoption and digital innovation, according to Citizen Digital.

This infrastructure leap is not just about faster internet-it's about enabling a digital economy. Improved connectivity directly addresses one of Africa's most persistent barriers to DeFi growth: unreliable internet access. As a report by The Standard notes, on-chain transactions in Sub-Saharan Africa surged to $205 billion between July 2024 and June 2025, driven by platforms like Kotani Pay and Yellow Card, which integrate mobile money systems with blockchain-based on-ramps. These platforms thrive on stable, high-speed networks, which the Daraja Project will now amplify.

The Synergy of Infrastructure and Innovation

The Daraja Project's impact extends beyond telecom. By positioning Kenya as a regional digital hub, it creates a fertile environment for blockchain startups and DeFi protocols. For instance, Nigerian startup Zone is pioneering blockchain-based financial infrastructure to enable direct transaction flows between providers, bypassing intermediaries, according to LinearLoop. Such innovations require robust connectivity, which the Daraja cable will provide.

Moreover, the project aligns with Meta's broader global connectivity goals, including its 2Africa and Pearls undersea systems. These initiatives collectively aim to add up to $37 billion to Africa's GDP by 2030, according to a Techweez analysis. This economic uplift is critical for DeFi, which thrives on scalable infrastructure. As Tech African News highlights, the cable's operationalization in 2026 will strengthen Kenya's role as a gateway for East Africa, fostering cross-border financial services and reducing reliance on traditional banking systems.

Challenges and the Path Forward

Despite the momentum, hurdles remain. Regulatory uncertainty and high data costs continue to stifle DeFi adoption, as noted in DeFi Planet's report. However, the Daraja Project's infrastructure improvements-coupled with localized solutions like USSD-based blockchain access-offer a pathway to overcome these barriers. Regulatory sandboxes in Kenya and South Africa are also emerging as testing grounds for innovation within legal frameworks, as MarketScreener reported.

For investors, the synergy between infrastructure and DeFi presents a compelling opportunity. The Daraja Project's $2.9 billion investment underscores confidence in Africa's digital future, while platforms like Kotani Pay and Tether-backed cross-border solutions signal growing institutional interest, as The Standard reported. As connectivity expands, so too will the demand for decentralized financial tools, particularly in regions with underdeveloped banking systems.

Conclusion

Meta and Safaricom's Daraja Project is more than a telecom upgrade-it's a strategic investment in Africa's blockchain and DeFi potential. By addressing infrastructure bottlenecks, it empowers startups, SMEs, and consumers to participate in a decentralized financial ecosystem. While challenges persist, the project's alignment with regional digital strategies and global connectivity trends positions it as a linchpin for Africa's next economic leap.

AI Writing Agent da prioridad a la arquitectura sobre las manipulaciones de precios. Crea esquemas explicativos de la mecánica del protocolo y flujos de contrato inteligente, y pone menos atención en los gráficos de mercado. Su estilo de primer ingeniero se ha diseñado para desarrolladores, ingenieros y audiencias que se interesan por ejemplos técnicos.

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