artvirus did research on the topic
Nigeria is one of the most populated countries not only in Africa but also in the world with over 260 million people. Nigeria is a diverse country with rich cultural heritage, and history, a tropical paradise if you will. But beyond that, Nigeria also has great opportunities to offer cryptocurrency. Many young Nigerians are adopting bitcoin amid the crypto ban put in place by the Nigerian Central Bank. In fact, since the start of 2021, peer-to-peer bitcoin trading has grown to $204 million, the largest amount in Africa.
Data collated from Usefultulips, a Bitcoin analytic provider, shows Nigeria beats the rest of Africa combined on the use of bitcoin for p2p transactions.
According to Statista, 32% of Nigerians are users of cryptocurrencies, the highest in the world. Estimates show that of the top 10 countries for trading volumes, Nigeria ranked third after the US and Russia in 2020, generating more than US$400 million worth of transactions. But data from domestic cryptocurrency exchanges indicate healthy growth in the number of investors.
Popular cryptocurrency exchanges in the country including Roqqu, Paxful, Binance, Remitano, and Luno have seen massive growth in retail investors on their platform since 2020.
A Lagos phone vendor who uses bitcoin in his business. Photograph: Temilade Adelaja/Reuters
Cryptocurrency challenges in Nigeria
Poverty and digital illiteracy
Cryptocurrency in Africa ought to be the next big thing after tourism and entertainment but it has met with some mitigating factors such as digitalization illiteracy and ill distribution of wealth and resources amongst Nigeria populace resulting to extreme level of poverty. Thus this has a ripple effect in utilization of cryptocurrency in businesses and trading platforms.
Poor Internet Connection
In this current dispensation,the internet plays a vital role in proper use for digitalise trading and also for prompt communication between people. As good as everyone will love to make use of cyberspace in their day to day dealings and transaction,poor Internet Connection among network providers with a high surge of data purchase has undoubtedly be a stumbling block to majority of Nigerians harnessing the internet for cryptocurrency prompt exchange.
Cryptocurrency Ban
Many Nigerians want to invest in cryptocurrencies but are worried about the government's stance on cryptocurrency.
In February 2021, the Central Bank of Nigeria released a letter addressed to banks and financial institutions which stated that dealing in cryptocurrencies and facilitating payment for cryptocurrency exchanges are prohibited. The CBN also stated in the Press Release that cryptocurrencies are issued by unregulated and unlicensed entities and as such, the use of cryptocurrencies in Nigeria contravened existing law as they are not legal tender.
However, young Nigerians found different ways to deal with the crisis. They use overseas bank accounts to easily revert to peer-to-peer transactions. This means that rather than transferring funds between financial institutions and a cryptocurrency online trading platform, investors transfer funds directly to each other or through a middle persona as they buy and sell.
This is not the first time the central bank is taking the initiative to control the cryptocurrency movement in the country. They have earlier banned banks from facilitating cryptocurrency-related transactions in 2017, but the ban was leniently implemented leading to a big fail.
These measures have done little to dampen trading, with exchanges reporting a continued rise in transactions this year.
Creation of Nigeria CBDC- Enaira
In late July, Nigeria announced a pilot scheme for a new government-controlled digital currency Enaira(www.enaira.com)– hoping to reduce incentives for those wanting to use unregulated crypto
Factors Driving Crypto Adoption in Nigeria
Fall of Naira
Nigeria is a one economy country, she depends on oil as a source of revenue.
The fall of oil price has affected the country's economy drastically, the value of the naira has reduced. Exchange rate in anks for USD/NGN is 410.74 while exchange rate on the black market is 540/$. They can't purchase international products because of the increasing value of the dollar to naira. Henceforth, Nigerians are embracing Bitcoin to address these financial challenges.
EndSars Protest
Bitcoin stole the stage during #EndSARS protest.
EndSARS protest was a global sensation in 2020 and was synonymous to Black lives matter protest in the US. The movement was against police brutality in the country, supporters donated for the cause. The government came to know about this and froze the bank accounts of the leaders of the movement. However, supporters found a way out with Bitcoin. They began donating Bitcoin to fund the EndSARS movement.
Nigerian Owned Crypto Exchanges
Roqqu
A Nigerian owned crypto exchange provides one of the fastest means of buying and selling 8 cryptocurrencies with good experience.
The processes involved in carrying out this transaction are very simple (Roqqu designed its user's interface for everyone to easily navigate).
Your buy and sell power largely depend on your level of verification.
Roqqu has an exchange wallet that enables you to store, receive, send, transact crypto worldwide, and make other payments online.
The exchange provides wallet for all the supported cryptos. From Roqqu wallet, you can make these local online bill payments;
Paying of electricity bill
TV subscription
Topping up your phones and Data purchase
– For Business
“For Business” menu that you see on Roqqu covers the area of payment gateway services.
As a payment gateway, Roqqu helps businesses in Nigeria to accept payment made in cryptocurrencies across the continent.
The payments can be withdrawn in crypto or converted into naira and transferred directly into users local bank in Nigeria.
With this service, Roqqu hopes to increase the number of businesses accepting crypto in Nigeria.
Founder
Benjamin Eseoghene Onomor
Abit Network
is a blockchain company created for making life utilities for the fast crypto growing cryptocurrency market with an ecosystem of products ranging from decentralized finance, gaming, agriculture, crypto trading/education, real estate. The CEO of Abit Network is Gaius Chibueze, a Nigerian who was ranked among the best crypto traders by Binance in 2019. He is also the founder of Tatcoin- a tradable token in the cryptocurrency market used as the official currency of the Abit Network.
Patricia
Patricia was founded by Hanu Fejiro Agbodje , on August 16th, 2017, and started its first transactions on Whatsapp. Patricia launched her first website, November 20th, 2018.
Hit her first 1,000 daily transactions on May 2nd, 2019
Patricia launched her first App, March 1st, 2020. Giving her users an easier and accessible platform.
HaggleX
HaggleX is a multi-currency blockchain-based exchange, that offers users a secure financial ecosystem for trading, lending and borrowing. It also solves the problems of financial inclusion by offering users utility services whereby products can be purchased within the platform.
Furthermore, HaggleX adds some features of decentralized finance and allows users to save their digital assets and also plans to add staking features. The project has quickly amassed a decent following and has representatives in over 12 countries globally.
HaggleX Features
P2P Exchange
HaggleX offers a peer-to-peer trading where buyers can connect sellers across different locations supported by the exchange. Traders are able to perform transactions of cryptocurrencies, giftcards and other digital assets within a safe and secure environment without the requirement of a third party.
HaggleX P2P trading platform is unique as it offers an encrypted chat engine where traders can interact with verified merchants and partners. Unlike other P2P exchanges, HaggleX places emphasis on security and offers an escrow system built on a smart contract to ensure funds are kept safe.
Founder
HaggleX is founded by two Nigerians Samuel Joseph and ADEBIYI AYOYINKA.
Conclusion
This study shows that Nigerians are hungry for the new world. Bitcoin is adoption is growing in third world nations and the young people in Nigeria are taking of advantage of the crypto sphere.
Happy independence Nigeria
References
https://nairametrics.com/2020/08/08/nigeria-attracts-more-bitcoin-interest-than-any-country-globally/
https://industrywired.com/poverty-and-falling-currency-value-contribute-to-bitcoin-adoption-in-nigeria/
https://news.bitcoin.com/ukraine-russia-south-africa-nigeria-cryptocurrency-adoption/
https://bitcoinafrica.io/2018/12/07/african-countries-embracing-bitcoin/
https://bitcoinafrica.io/2020/02/14/bitcoin-mixer/
◦
https://paxful.com/blog/bitcoin-adoption-nigeria/
https://www.google.com/amp/s/www.indiatoday.in/amp/business/story/decoded-why-more-indians-are-investing-in-cryptocurrencies-bitcoin-ether-dogecoin-1845122-2021-08-25
https://blog.chainalysis.com/reports/2021-global-crypto-adoption-index
https://www.mypatricia.co/about/
https://paxful.com/blog/bitcoin-adoption-in-india/
https://medium.com/nigeriabitcoincommunity/roqqu-crypto-exchange-an-in-depth-review-and-comparison-8a508d222c36#230e
https://www.linkedin.com/in/gaiuschibueze
https://linktr.ee/abitapps
https://www.google.com/amp/s/businessday.ng/amp/crypto-and-blockchain/article/hagglex-a-unique-blockchain-and-cryptocurrency-ecosystem/
https://bitcoinafrica.io/2018/12/07/african-countries-embracing-bitcoin/
https://paxful.com/blog/bitcoin-adoption-nigeria/
https://www.google.com/amp/s/amp.theguardian.com/technology/2021/jul/31/out-of-control-and-rising-why-bitcoin-has-nigerias-government-in-a-panic
https://www.do4africa.org/en/cryptocurrency-adoption-in-africa/9087/
ABSTRACT
The purpose of this study is to determine bitcoin adoption and usage among individuals in Nigeria. The crypto exchanges and companies owned by Nigerians were taken into account. Data from analytical sites, crypto exchanges were used for this research. The result shows there is significant usage of cryptocurrency in the country.INTRODUCTION
Nigeria is one of the most populated countries not only in Africa but also in the world with over 260 million people. Nigeria is a diverse country with rich cultural heritage, and history, a tropical paradise if you will. But beyond that, Nigeria also has great opportunities to offer cryptocurrency. Many young Nigerians are adopting bitcoin amid the crypto ban put in place by the Nigerian Central Bank. In fact, since the start of 2021, peer-to-peer bitcoin trading has grown to $204 million, the largest amount in Africa.
Data collated from Usefultulips, a Bitcoin analytic provider, shows Nigeria beats the rest of Africa combined on the use of bitcoin for p2p transactions.
According to Statista, 32% of Nigerians are users of cryptocurrencies, the highest in the world. Estimates show that of the top 10 countries for trading volumes, Nigeria ranked third after the US and Russia in 2020, generating more than US$400 million worth of transactions. But data from domestic cryptocurrency exchanges indicate healthy growth in the number of investors.
Popular cryptocurrency exchanges in the country including Roqqu, Paxful, Binance, Remitano, and Luno have seen massive growth in retail investors on their platform since 2020.
A Lagos phone vendor who uses bitcoin in his business. Photograph: Temilade Adelaja/Reuters
Cryptocurrency challenges in Nigeria
Poverty and digital illiteracy
Cryptocurrency in Africa ought to be the next big thing after tourism and entertainment but it has met with some mitigating factors such as digitalization illiteracy and ill distribution of wealth and resources amongst Nigeria populace resulting to extreme level of poverty. Thus this has a ripple effect in utilization of cryptocurrency in businesses and trading platforms.
Poor Internet Connection
In this current dispensation,the internet plays a vital role in proper use for digitalise trading and also for prompt communication between people. As good as everyone will love to make use of cyberspace in their day to day dealings and transaction,poor Internet Connection among network providers with a high surge of data purchase has undoubtedly be a stumbling block to majority of Nigerians harnessing the internet for cryptocurrency prompt exchange.
Cryptocurrency Ban
Many Nigerians want to invest in cryptocurrencies but are worried about the government's stance on cryptocurrency.
In February 2021, the Central Bank of Nigeria released a letter addressed to banks and financial institutions which stated that dealing in cryptocurrencies and facilitating payment for cryptocurrency exchanges are prohibited. The CBN also stated in the Press Release that cryptocurrencies are issued by unregulated and unlicensed entities and as such, the use of cryptocurrencies in Nigeria contravened existing law as they are not legal tender.
However, young Nigerians found different ways to deal with the crisis. They use overseas bank accounts to easily revert to peer-to-peer transactions. This means that rather than transferring funds between financial institutions and a cryptocurrency online trading platform, investors transfer funds directly to each other or through a middle persona as they buy and sell.
This is not the first time the central bank is taking the initiative to control the cryptocurrency movement in the country. They have earlier banned banks from facilitating cryptocurrency-related transactions in 2017, but the ban was leniently implemented leading to a big fail.
These measures have done little to dampen trading, with exchanges reporting a continued rise in transactions this year.
Creation of Nigeria CBDC- Enaira
In late July, Nigeria announced a pilot scheme for a new government-controlled digital currency Enaira(www.enaira.com)– hoping to reduce incentives for those wanting to use unregulated crypto
Factors Driving Crypto Adoption in Nigeria
Fall of Naira
Nigeria is a one economy country, she depends on oil as a source of revenue.
The fall of oil price has affected the country's economy drastically, the value of the naira has reduced. Exchange rate in anks for USD/NGN is 410.74 while exchange rate on the black market is 540/$. They can't purchase international products because of the increasing value of the dollar to naira. Henceforth, Nigerians are embracing Bitcoin to address these financial challenges.
EndSars Protest
Bitcoin stole the stage during #EndSARS protest.
EndSARS protest was a global sensation in 2020 and was synonymous to Black lives matter protest in the US. The movement was against police brutality in the country, supporters donated for the cause. The government came to know about this and froze the bank accounts of the leaders of the movement. However, supporters found a way out with Bitcoin. They began donating Bitcoin to fund the EndSARS movement.
Nigerian Owned Crypto Exchanges
Roqqu
A Nigerian owned crypto exchange provides one of the fastest means of buying and selling 8 cryptocurrencies with good experience.
The processes involved in carrying out this transaction are very simple (Roqqu designed its user's interface for everyone to easily navigate).
Your buy and sell power largely depend on your level of verification.
Roqqu has an exchange wallet that enables you to store, receive, send, transact crypto worldwide, and make other payments online.
The exchange provides wallet for all the supported cryptos. From Roqqu wallet, you can make these local online bill payments;
Paying of electricity bill
TV subscription
Topping up your phones and Data purchase
– For Business
“For Business” menu that you see on Roqqu covers the area of payment gateway services.
As a payment gateway, Roqqu helps businesses in Nigeria to accept payment made in cryptocurrencies across the continent.
The payments can be withdrawn in crypto or converted into naira and transferred directly into users local bank in Nigeria.
With this service, Roqqu hopes to increase the number of businesses accepting crypto in Nigeria.
Founder
Benjamin Eseoghene Onomor
Abit Network
is a blockchain company created for making life utilities for the fast crypto growing cryptocurrency market with an ecosystem of products ranging from decentralized finance, gaming, agriculture, crypto trading/education, real estate. The CEO of Abit Network is Gaius Chibueze, a Nigerian who was ranked among the best crypto traders by Binance in 2019. He is also the founder of Tatcoin- a tradable token in the cryptocurrency market used as the official currency of the Abit Network.
Patricia
Patricia was founded by Hanu Fejiro Agbodje , on August 16th, 2017, and started its first transactions on Whatsapp. Patricia launched her first website, November 20th, 2018.
Hit her first 1,000 daily transactions on May 2nd, 2019
Patricia launched her first App, March 1st, 2020. Giving her users an easier and accessible platform.
HaggleX
HaggleX is a multi-currency blockchain-based exchange, that offers users a secure financial ecosystem for trading, lending and borrowing. It also solves the problems of financial inclusion by offering users utility services whereby products can be purchased within the platform.
Furthermore, HaggleX adds some features of decentralized finance and allows users to save their digital assets and also plans to add staking features. The project has quickly amassed a decent following and has representatives in over 12 countries globally.
HaggleX Features
P2P Exchange
HaggleX offers a peer-to-peer trading where buyers can connect sellers across different locations supported by the exchange. Traders are able to perform transactions of cryptocurrencies, giftcards and other digital assets within a safe and secure environment without the requirement of a third party.
HaggleX P2P trading platform is unique as it offers an encrypted chat engine where traders can interact with verified merchants and partners. Unlike other P2P exchanges, HaggleX places emphasis on security and offers an escrow system built on a smart contract to ensure funds are kept safe.
Founder
HaggleX is founded by two Nigerians Samuel Joseph and ADEBIYI AYOYINKA.
Conclusion
This study shows that Nigerians are hungry for the new world. Bitcoin is adoption is growing in third world nations and the young people in Nigeria are taking of advantage of the crypto sphere.
Happy independence Nigeria
References
https://nairametrics.com/2020/08/08/nigeria-attracts-more-bitcoin-interest-than-any-country-globally/
https://industrywired.com/poverty-and-falling-currency-value-contribute-to-bitcoin-adoption-in-nigeria/
https://news.bitcoin.com/ukraine-russia-south-africa-nigeria-cryptocurrency-adoption/
https://bitcoinafrica.io/2018/12/07/african-countries-embracing-bitcoin/
https://bitcoinafrica.io/2020/02/14/bitcoin-mixer/
◦
https://paxful.com/blog/bitcoin-adoption-nigeria/
https://www.google.com/amp/s/www.indiatoday.in/amp/business/story/decoded-why-more-indians-are-investing-in-cryptocurrencies-bitcoin-ether-dogecoin-1845122-2021-08-25
https://blog.chainalysis.com/reports/2021-global-crypto-adoption-index
https://www.mypatricia.co/about/
https://paxful.com/blog/bitcoin-adoption-in-india/
https://medium.com/nigeriabitcoincommunity/roqqu-crypto-exchange-an-in-depth-review-and-comparison-8a508d222c36#230e
https://www.linkedin.com/in/gaiuschibueze
https://linktr.ee/abitapps
https://www.google.com/amp/s/businessday.ng/amp/crypto-and-blockchain/article/hagglex-a-unique-blockchain-and-cryptocurrency-ecosystem/
https://bitcoinafrica.io/2018/12/07/african-countries-embracing-bitcoin/
https://paxful.com/blog/bitcoin-adoption-nigeria/
https://www.google.com/amp/s/amp.theguardian.com/technology/2021/jul/31/out-of-control-and-rising-why-bitcoin-has-nigerias-government-in-a-panic
https://www.do4africa.org/en/cryptocurrency-adoption-in-africa/9087/