The most trade in crypto currency is found in Nigeria than anywhere else in the world. According to data retrieved from Google trend, Nigeria, Africa’s most powerful economy in GDP terms has proven the country to be the only one with a perfect score on interest in bitcoin.
It is an undisputed fact that crypto has become widely accepted in Nigeria and Africa at large. This is because people now prefer to use digital currencies over FIAT cash.
Cryptocurrency has served as an alternative source of income for most Nigerians and African Youths, especially Bitcoin in particular.
What Is Cryptocurrency?
A Cryptocurrency is a digital currency that is built on an innovative technology called the blockchain. It is a digital investment asset.
Beyond that, the field of cryptocurrencies has expanded dramatically since the launch of Bitcoin over a decade ago, and the next great digital token may be released tomorrow.
What Drives The Crypto currency Usage in Nigeria?
Holding valuable cryptocurrencies for an extended period will yield interest despite the high volatility of the crypto market. This is why Nigerians are actively involved in cryptocurrency investments.
Because Nigeria has a large population within the age range of the tech-savvy, it’s easy for its citizens to adopt bitcoin use.
Although the country has eased out of its second recession in less than five years, the challenging economic situation in the country remains, making other sources of income and alternative currencies attractive.Thus, many Nigerians are turning to cryptocurrency to preserve their savings amidst this harsh economic conditions.
A lot of Nigerians have adopted the use of cryptocurrency, but this adoption is not limited to Bitcoin. Some other cryptocurrencies that Nigerians and Africans in general have adopted include Litecoin, Ripple, and Ethereum among many others.
The high rate of cryptocurrency adoption in Africa can be traced to the instability of our local currencies. Thus prompting most people to have their money stored as digital assets.
What Payment Platform is Mostly Used To Trade?
According to research by Chinalysis,not only has Africa’s cryptocurrency market grown over 1200% by value received in the last year, but the region also has some of the highest grassroots adoption in the world, with Kenya, Nigeria, South Africa, and Tanzania all ranking in the top 20 of the Global Crypto Adoption Index.
Also, blockchain analysis confirms that cryptocurrency-based remittance payments are likely increasing in Africa. Thanks to its recent growth, no other region uses the P2P (Peer to peer) platforms at a higher rate than Nigerian cryptocurrency users, as they account for 1.2% of all African transaction volume and 2.6% of all volume for Bitcoin specifically.
Reason being that a country like Nigeria has made it difficult for customers to send money to cryptocurrency businesses from their bank accounts because of certain laws that do not allow such transfers. However, this isn’t an issue for P2P platforms, which are non-custodial and let customers trade cash for cryptocurrency amongst themselves. Therefore allowing users send cryptocurrency to centralized exchanges for more trading options if they so choose.
Want to Venture Into Crypto Trading? Embrace Learning
Speaking with CRESTHUB, Miss Oluchi Christabel Obioha, an economics student and crypto enthusiast explained how she developed an interest in crypto trading in 2019 and has since not looked back.
“The evolution of money is one thing I find intriguing. I believe that crypto currencies are a modification of money. It is the future of finance and another evolution of everything money.
Having known this, seeing how I could easily use the little I earn to make more money as long as I know the basics of the market, prompted me.”
Miss Oluchi also gave an insight on why Bitcoin can be trusted. She said, “Unlike fiat, crypto has almost no restrictions. It is more reliable and can’t be controlled by the government. As opposed to fiat currencies ( government issued money ) which is subject to the law of diminishing returns, Bitcoin has proven to yield more when kept for a long time provided you store the right project.”
The question as to whether the engagement of a large number of Nigerians in crypto trading could further promote and build on the Nigerian economy has been answered with a definite ‘Yes’.
Nigeria is a developing country therefore, there would be a beneficial rise in economic activities. With the rate at which crypt currency is moving, it’s becoming an entire industry on its own. With features including low transaction costs.
This in turn encourages more and more people to trust these new financial tools and start transacting, allowing for the economy to be more closely intertwined, gives more power to enterprenuers and empowers youths by granting them financial capability.
Miss Oluchi in her chat with CRESTHUB gave a statement, encouraging young Nigerians who plan to venture into the crypto space to learn first by embracing knowledge.
“Knowledge is power. By embracing it, it gives you an edge in every thing you do. This is the reason why I always host free training classes to equip as many people as possible with the basic knowledge of the crypto market. Everything accomplished successfully takes time. Just go one step at a time and soon you’ll find yourself earning big.”