- BTC costs 17.2 million NGN, equivalent to $37,450 by the official exchange rate.
- Ethereum costs 1.1 million NGN, equivalent to $2,575, instead of the global $1,569.
- Nigerian government recently banned daily cash withdrawals above $43 on ATMs.
Recently, the prices of major cryptocurrencies in Nigeria, the most populous African country in the world, have been growing exponentially as its apex bank urges citizens to go digital.
According to NairaEx, a leading local crypto exchange, one Bitcoin costs approximately 17.2 million Nigerian Naira (NGN), equivalent to $37,450 going by the official exchange rate of 460 NGN per USD. This figure is about $14,650 more than Bitcoin’s current $22,800 global market price.
Similarly, the price of Ethereum (ETH) is about 1.1 million NGN, equivalent to $2,575, instead of the global $1,569. The country’s recent fiscal policies may be a notable reason for the substantial price discrepancies.
Last year, the Nigerian central bank revised its cash policy to ban daily cash withdrawals above 20,000 NGN or $43 over-the-counter and automated teller machines. It also imposed a 100,000 NGN or $217 restriction on monthly cash withdrawals.
Nigeria’s director of banking supervision Haruna Mustafa noted that customers should use alternative channels such as internet banking and the central bank digital currency (eNaira).
According to a recent poll by Morning Consult in conjunction with Bloomberg and World Bank, more than half of Nigeria’s adult population trade cryptocurrency monthly. India had the largest population involved in crypto, with approximately 300 million people, although the figure represents 29% of India’s entire adult population.
China ranked second with 93 million active crypto traders, but the figure is only 8% of China’s population. On the other hand, Nigeria has 56% of its adult population actively trading crypto each month. The survey concluded that one in every seven adults, equivalent to 900 million people globally, regularly deals with the blockchain ecosystem.