Bitcoin and other cryptocurrencies are not illegal in Nigeria. At least we are still trading them. The government went tough on naira to crypto P2P trading platforms but yet we are still trading cryptocurrencies. The government were very hash but we are still trading cryptocurrencies.

About foreign investors. Nigeria government and their officials are enough to discourage foreign investors. This is not about cryptocurrencies only but generally. You can see how they dealt with exchanges that provided crypto products and services to Nigerians. You can also see what Dangote which is not even a foreign investor is facing in his own country. There are many other ones that foreign investors would be discouraged.