Nigeria CBDC Records $10M In Transactions Since October

Nigeria CBDC records $10 million in transactions since October of last year. This is owing to a surge in crypto usage by the people of Nigeria, especially the widespread use of their native CBDC eNaira.

Nigeria CBDC Records $10M In Transactions Since October

Since its inception in October 2021, Nigeria’s digital currency eNaira has allegedly attracted 270,000 users, with documented transactions totaling N4 billion (about $10 million).

During an eNaira hackathon on August 18, CBN Governor Godwin Emefiele lauded the digital currency’s accomplishments. Emefiele stated,

“Since the launch of this great initiative, the e-Naira has reached 840,000 downloads, with about 270,000 active wallets comprising over 252,000 consumer wallets and 17,000 merchant wallets.”

He also stated that over N4 billion in transactions had been conducted on the platform in 200,000 transactions.

Speaking about the project’s second phase, Emefiele indicated that the goal is to achieve 8,000,000 active users out of the country’s approximately 200 million residents.

Adoption of e-Naira

Nigeria’s Central Bank introduced the eNaira in October 2021 with the goal of accelerating financial inclusion for approximately 40% of unbanked Nigerians.

Despite the project’s big ambition and goal, uptake has been gradual. Within one month of its introduction, it had 400,000 registered wallets. According to a July study, its adoption was hampered since just 700,000 wallets were registered on the site.

One of the factors causing its delayed acceptance is the country’s commercial banks’ unwillingness to support the project. Users may conduct cost-free transactions with the eNaira, which has a detrimental impact for commercial banks, which receive their revenue from charges.

The International Monetary Fund (IMF) forecast the e-poor Naira’s adoption in November while analyzing the possibilities of Nigeria’s digital currency.

“e-Naira wallets may be perceived, or even effectively function, as a deposit at the central bank, which may reduce demand for deposits in commercial banks.”

Nigeria Is All Out For Crypto

Nigerians have been more open to crypto adoption than the eNaira. According to Gemini’s analysis, 26% of Nigerians own at least one crypto asset, helping the country lead the 880% crypto adoption surge by 2020.

Nigeria’s official exchange is in jeopardy as a result of the country’s strong crypto usage. To combat the deterioration of the exchange rate, the Central Bank has restricted financial institutions from maintaining cryptocurrency accounts and even compelled banks to record crypto-related transactions conducted through its platform.

Nigerians are not just growing their cryptocurrency transactions; they are also allegedly at the top of the worldwide blockchain skill rankings. According to a recent survey by cryptocurrency exchange OKX and professional networking site LinkedIn, the number of Nigerians working in the blockchain business has surged by 76% since 2021.

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