The acceptance of cryptocurrencies in Nigeria is skyrocketing
2 min read
Nigeria’s population is increasingly hungry for cryptocurrencies as the country is gripped by double-digit inflation. Mass adoption of digital currencies is on the rise, despite very harsh government and central bank interventions against BTC and other cryptocurrencies.
Mass adoption in Nigeria
The search for the keyword BTC in Nigeria again exceeded all expectations. The country’s trading volume recorded its second strongest week. P2P trading increased steadily, finishing second only to the United States.
Uncontrolled inflation, monetary controls, corruption and social repression in Nigeria have led to massive adoption of cryptocurrencies. The growing acceptance of BTC in this African country has helped sub-Saharan Africa become a leading region in P2P trading volumes.
Although the popularity of cryptocurrencies among the population is growing, the central bank and the government are trying to throw as many sticks as possible on digital assets. In February this year, the government banned licensed banks from processing cryptocurrency transactions.
“Many business activities have now been pushed underground, which means that many Nigerians are now dependent on less secure, less transparent over-the-counter channels. In groups on Telegram or WhatsApp, people trade directly with each other. “
Despite the hostility of the government and the central bank to BTC, Nigeria is currently examining the development of a digital currency issued by the central bank (CBDC). At the end of July, the Central Bank of Nigeria unveiled plans to begin testing the CBDC from October this year.
Conclusion
In every country that suffers from high inflation, BTC uptake is many times higher. This is proven, for example, by Iran, Latin America, Nigeria and Ukraine. For the population of countries with double-digit inflation, BTC thus appears to be a shining savior and preserver of value. However, only electricity and internet access are enough to use cryptocurrencies. You can see the data from Google Trends under the attached link HERE.
