BusinessDay
Nigeria's leading finance and market intelligence news report.

Why Do Nigerians Trade Bitcoins the Most?

Cryptocurrency and bitcoin are the future of the new generation. This rapidly increasing cryptocurrency is swiftly making its way through Nigerians. At present, Nigeria is the world’s fastest-growing bitcoin market. Researchers believe that Nigeria is going to be the country with most trading in bitcoin. It is intriguing why Nigerians have shown such huge support for it.

Let’s dig a little deeper into the topic.

Depreciating Currency

Naira, the national currency of Nigerians, is facing depreciation which is leading their economy to a downfall. It is believed that Naira will continue losing its certainty in the future as well which is why it has lost its worth in the eyes of Nigerians.

Thus, bitcoin proved to be a savior for the people who were falling into the pit of poverty. One of the users of bitcoin in Nigeria says, ‘Crypto is a way for Nigerian youth to overcome poverty.’ People trade Bitcoin to make a living.

Dodging the Government

There is a ban on trade with China in Nigeria so people take the help of bitcoin to dodge these trade restrictions. Smooth and easy exchange of money can take place anywhere through cryptocurrency.

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Lately, in October, Nigerians faced police brutality at a protest. The backbone of the protest was the enormous funding from its support. Thus, the government immediately placed a ban on protesters from using local payment. Bitcoin proved its worth at this point as people ultimately shifted to use it as currency for funds.

Peer-to-Peer

Platforms which provide the transactions for bitcoins have a ‘moving peer-to-peer’ policy. Thus, these are decentralized so it allows senders and buyers to connect directly. Bitcoin platforms allow users to have a smooth transaction without the interference of intermediaries. It implies that even if your bank shuts down your account, they have no control over your bitcoin platforms.

International Restrictions

Apart from the restrictions imposed by their government, Nigerians also face immense restrictions internationally. PayPal, a world-famous platform for the international transfer of money is not open for Nigerians.

Not only this, the local banks also make international trade difficult for Nigerians by imposing high fees on it. Dollar deficiency places a leading role in international restrictions for the inhabitants of Nigeria. In such times, the https://bitcoinmastery.io/ is the only way for them to overcome these restrictions. The more the restrictions grow, the more people shift towards bitcoins in future as well.

Ease of Use

The liquidity of bitcoin in Nigeria is also due to its ease of use. As time is going by, people are becoming more aware of this cryptocurrency. You can make payments or online purchases through the transfer of bitcoins online. Thus, you can use the bitcoin mastery app anytime and anywhere on your computers as well as smartphones.

Discretion

Bitcoin purchases through third party apps allow the user a certain level of discretion as compared to other currency purchases. Adding to it, the bitcoin address changes with each transaction. Thus, this increase in the level of privacy led Nigerians to have a bend towards bitcoin.

Security 

Trading is secure with bitcoin which is a prominent reason for its rapid growth in Nigeria. The complete control over transactions and no hidden charges have made Nigerians rely on it for buying and selling.

If a seller wants to add some toll or extra charges to the buyers, it cannot be done without the consent of the latter. Thus, it is an open and shut trade securing the rights of both parties involved.

Conclusion

As the above-mentioned reasons indicate, Bitcoin is an ever-growing market in Nigeria. Since 2017, a 17% increase in bitcoin trade has been observed. Researchers also indicate that 2020 was the most powerful year of bitcoin in Nigeria as the highest volume of 20,504.50 was recorded in it.

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