Why Luno won’t add more cryptocurrencies

Luno South Africa country manager Marius Reitz has affirmed the cryptocurrency exchange’s stance on adding support for other cryptocurrencies.

Speaking at Blockchain Entrepreneurs Club South Africa’s (BECSA) Chain Reaction event in Johannesburg, Reitz addressed the platform’s approach to its cryptocurrency wallet, and its future plans.

Reitz said he believes we are 5-10 years away from cryptocurrency taking over as a world currency, and that users should have equal access to the next generation of currency.

“To us at Luno, the most important thing is to create an open and equal system for all,” he said.

He said that greedy investors were good for the cryptocurrency industry, as they cause network development and public awareness to increase at a faster rate.

“Greedy people provide liquidity to the ecosystem and accelerate the network effects,” Reitz said.

“Each time a greedy person buys cryptocurrency, that person buys into the industry and makes it possible for us to continue with research, development, and scaling.”

He added that adoption of cryptocurrencies by the general public is being driven by more useful and real use-cases, increased awareness, and improved infrastructure.

Adding altcoins

When it comes to adding support for other cryptocurrencies – or “altcoins” – Reitz said that Luno has no immediate plans to support additional tokens.

Luno has made this decision for both accessibility and security reasons.

“We are not currently adding more tokens to our platform,” Reitz said.

He said that increasing the number of tokens available on the cryptocurrency exchange adds another layer of complexity, which could discourage newcomers.

“By adding more altcoins, we are increasing the complexity of our operations, as everything needs to become more complex,” Reitz said.

“For a first-timer, that person will be confronted with five different altcoins and will think ‘which one do I go for?’”

Reitz said that at this stage, Luno is working on making its app, platform, and cryptocurrency wallet as easy-to-use and safe as possible.

He said that the platform could definitely support additional cryptocurrencies, but the exchange is choosing to focus on security and accessibility instead.

“I’m not saying that we won’t ever add more altcoins,” Reitz said. “We could add 10-20 altcoins in the next month if we wanted to, but it would not be the responsible thing to do at this stage.”

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