Nigeria’s crypto deals volume hits $56bn
Nigeria’s volume of crypto transactions experienced a 9% year-over-year growth, surging to a total of $56.7 billion during the period spanning July 2022 to June 2023.
That’s according to a report by the New York-based blockchain research firm Chainalysis, which finds that the adoption of cryptocurrencies in Nigeria is on the rise.
This trend is occurring amidst the challenges faced by Africa’s largest economy, which include a depreciating currency and soaring inflation.
In Nigeria, the adoption of bitcoin and stablecoins, which are digital currencies linked to stable assets to counteract drastic price swings, surged notably as the value of the naira underwent substantial drops. These declines became especially evident during the tumultuous market upheavals observed in June and July of 2023. The devaluation of the currency was instigated by President Bola Tinubu's implementation of far-reaching reforms, among the most ambitious witnessed in Nigeria in recent years. These reforms encompassed the discontinuation of a widely used but financially burdensome petrol subsidy and the elimination of specific exchange rate restrictions.