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Crypto adoption is a fast-moving trend in Nigeria despite the government’s CBN regulation and a ban on financial institutions on crypto transactions. However, Nigeria still ranks Number 1 in Peer-to-Peer bitcoin trade and ranks the highest in Google search terms ‘BTC mining,’ ‘cryptocurrency,’ ‘invest in crypto,’ and ‘buy crypto’ worldwide.
One of the main reasons for the interest in crypto-currency is its limited access to monetary services, as Nigeria lacks proper banking and fiat-based opportunities.
Live on air Nigeria Info, 99.3 FM CEO of Botmecash and Co-founder of Satoshis Journal, Mr. Oluwasegun Kosemani, recently emphasized bitcoin adoption as a different type of crypto-currency while defining another cryptocurrency as a trash coin. He stated, “They are run by Venture capitalists who may someday pull the plug. In contrast, bitcoin is 100% decentralized and is money itself which cannot be sanctioned nor banned, though some will try and all will fail as any attempt to ban bitcoin will only accelerate it.”
The eNaira, a Central Bank of Nigeria-issued digital currency that provides a unique form of money denominated in Naira, was introduced after the ban on financial institutions from transacting crypto-currency. The Central Bank of Nigeria seconded that the introduction of the eNaira by the government is a fantastic innovation; however, it will not scale if it is not transferable with crypto-currency. Another issue is that the central authority in Nigeria has not confirmed that the eNaira is decentralized or centralized for Nigerians.
Bitcoin’s blockchain, a decentralized ledger of transactions across a peer-to-peer network, also offers financial service firms a more effective way to handle a whole range of transactions. Any commodity or government doesn’t back Bitcoin, on the other hand. Still, by its very nature, it is designed to be fungible, censorship-resistant, traceable on the blockchain, and backed by the credibility of its monetary properties.
Bitcoin has shown remarkable resilience in the face of numerous attempts by various governments to regulate it or shut it down. Despite its short existence, it has weathered enough trials in the market, as it will not vanish as a valued asset anytime soon. But the question today from many concerned Nigerians is, “what is the eNaira backed by?”
You can watch excerpts from the interview session below;
Opinions expressed here are entirely that of the writer and do not necessarily reflect those of Satoshi’s Journal or Satoshi’s Entertainment Company.