Finance

Bitcoin in Nigeria

Bitcoin and cryptocurrency have become a new form of development for the whole world. Companies like Tesla, Apple, Blackrock, etc have been looking towards blockchain technology for development. Many country’s governments are also looking towards making their economy digital. With the recent bull run, many new people are also getting interested in the crypto world.

The Nigerian government is also trying to make their economy digital and adopt blockchain technology but on Feb 5 the Central Bank of Nigeria has banned all cryptocurrencies and directed the financial institutions to stop dealing with cryptocurrencies, which has come as shock for people. This ban has created mistrust for the government among the people. Nigerians have started many campaigns like #wewantcryptoback on Twitter. During the worldwide lockdown, the oil prices crashed, due to which Nigerian currency has deteriorated and the country has entered a recession.

The cryptocurrency was a source of income for the people of Nigeria as this pandemic has impacted their lives and the inflation rate is also increasing day by day. Because of the ban, people are shifting towards peer-to-peer networks for trading cryptocurrency. Nigerians have started using cryptocurrency as a mode of payment, exchange, etc due to the Central Banks’ high transaction charges. Nigeria is the largest peer-to-peer network of bitcoin in Africa and the second-largest in the world.

Bitcoin price in Nigeria

Bitcoin’s price has touched its record high on Sunday with over $58000 and then corrected to $45000 on Tuesday. Now trading around $50000 which is .60% up. Bitcoin price in Nigeria has touched over $68000 on Wednesday. The reason behind this the exchange rate of Naira that is Nigerian currency to the dollar.

Nigerian traders are very happy about this because now they will get more money when they will convert their income to Naira. But this also means that buying bitcoins have become expensive. People trade bitcoins on peer-to-peer networks like Paxful, which takes a lot of premium. On Paxful the exchange rate is $1 equal to 475 nairas. Experts say that exchanges absorb informal dollar rates which automatically raise the bitcoin price in local currency. This phenomenon of having informal dollar rates in exchanges exists because it is outside of government rule.

And in Nigeria because of the ban, there are many exchange rates, as people are shifting to peer-to-peer networks that as informal dollar rates. This means that Nigerians have to spend more nairas than usual indicating that naira has worth less than what government says.

Nigeria’s exchange rate to dollar was 380 naira per dollar that means if we calculate bitcoin price in Nigeria then it will be around $68246.

 

BTC to Naira price

As I said earlier due to irregularities by the government Nigerians have to pay more nairas to buy bitcoins. Different exchanges have different rates for BTC to Naira price. If we google 1 BTC to Naira price then the answer is around 1, 90,89,911.
By looking at all these things, we can say that the Central Banks ban was an unplanned decision that is affecting their country and people drastically.

Bitcoin and cryptocurrency have become a new form of development for the whole world. Companies like Tesla, Apple, Blackrock, etc have been looking towards blockchain technology for development. Many country’s governments are also looking towards making their economy digital. With the recent bull run, many new people are also getting interested in the crypto world.

The Nigerian government is also trying to make their economy digital and adopt blockchain technology but on Feb 5 the Central Bank of Nigeria has banned all cryptocurrencies and directed the financial institutions to stop dealing with cryptocurrencies, which has come as shock for people. This ban has created mistrust for the government among the people. Nigerians have started many campaigns like #wewantcryptoback on Twitter. During the worldwide lockdown, the oil prices crashed, due to which Nigerian currency has deteriorated and the country has entered a recession.

The cryptocurrency was a source of income for the people of Nigeria as this pandemic has impacted their lives and the inflation rate is also increasing day by day. Because of the ban, people are shifting towards peer-to-peer networks for trading cryptocurrency. Nigerians have started using cryptocurrency as a mode of payment, exchange, etc due to the Central Banks’ high transaction charges. Nigeria is the largest peer-to-peer network of bitcoin in Africa and the second-largest in the world.

Bitcoin price in Nigeria

Bitcoin’s price has touched its record high on Sunday with over $58000 and then corrected to $45000 on Tuesday. Now trading around $50000 which is .60% up. Bitcoin price in Nigeria has touched over $68000 on Wednesday. The reason behind this the exchange rate of Naira that is Nigerian currency to the dollar.

Nigerian traders are very happy about this because now they will get more money when they will convert their income to Naira. But this also means that buying bitcoins have become expensive. People trade bitcoins on peer-to-peer networks like Paxful, which takes a lot of premium. On Paxful the exchange rate is $1 equal to 475 nairas. Experts say that exchanges absorb informal dollar rates which automatically raise the bitcoin price in local currency. This phenomenon of having informal dollar rates in exchanges exists because it is outside of government rule.

And in Nigeria because of the ban, there are many exchange rates, as people are shifting to peer-to-peer networks that as informal dollar rates. This means that Nigerians have to spend more nairas than usual indicating that naira has worth less than what government says.

Nigeria’s exchange rate to dollar was 380 naira per dollar that means if we calculate bitcoin price in Nigeria then it will be around $68246.

 

BTC to Naira price

As I said earlier due to irregularities by the government Nigerians have to pay more nairas to buy bitcoins. Different exchanges have different rates for BTC to Naira price. If we google 1 BTC to Naira price then the answer is around 1, 90,89,911.
By looking at all these things, we can say that the Central Banks ban was an unplanned decision that is affecting their country and people drastically.

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