News

Nigeria Rides the Crypto Wave, Citizens Choose Bitcoin

  • Nigeria ranks at number 2 in crypto trading worldwide.
  • It follows after the United States of America.
  • The country placed second despite much government effort to dampen crypto trading.

According to Paxful, a Bitcoin trading platform, Nigeria is second in line when it comes to crypto trading. This puts the country right behind the USA. Despite numerous attempts at trying to dampen the growing interest in Bitcoin, its citizens have fully embraced cryptocurrencies. 

In fact, according to Chainalysis, Nigerian users received an astounding $2.4 billion in May. This number is based on dollar volume in cryptos. This is a remarkable increase from the record set in December 2020 at $684 million. 

Moreover, analysts believe the number could be much higher as most of the trades are untraceable. Interestingly, it is a large array of factors that have led to Nigeria ranking in second place when it comes to crypto trading. 

For instance, back in February, the government took caution and banned all crypto transactions made via licensed banks. The locals had to find alternative ways to buy and hold cryptos, which considering the numbers they seem to have succeeded.  

More so, in late July, the entity said that a new pilot scheme for a government-controlled digital asset will be coming soon. This initiative was hoping to see a reduction in incentives for those looking to use unregulated cryptos.    

However, as we can see based on the country’s rank in crypto trading, these steps were fruitless. There is an interesting lesson to learn from this incident. Many countries are now beginning to regulate or fully ban crypto trading within their borders. 

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To highlight, UK and Canada, among others, have begun to restrict crypto exchange activities within their jurisdiction. These moves have ultimately pushed crypto exchanges out of the countries. 

On the other hand, certain crypto miners are looking to relocate. For example, china’s crypto crackdown has led crypto miners in the country to relocate and continue their crypto activities. All in all, it seems that no amount of force will stop the immovable object that is crypto trading.      

CryptoNewsLand Editor

CryptoNewsLand (CNL) is a one-stop online crypto news website that offers the latest happenings in the crypto world.

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