Nigeria’s Unwavering Interest in Bitcoin Despite New Crypto Regulations

In Nigeria, despite the implementation of stringent regulations against peer-to-peer (P2P) crypto exchanges by President Tinubu, the interest in Bitcoin and cryptocurrencies remains high. Google Trends data indicates that Nigeria is the leading African country in terms of cryptocurrency searches, with a particularly high interest in Bitcoin. This interest is not dampened even in the face of government pressures and the recent banning of P2P crypto trades.
The regulation, aiming to control the digital asset sector and combat the devaluation of the naira, has led to a ban on Binance operations and the arrest of its top executives. Furthermore, Nigerian banks are prohibited from holding virtual assets or trading cryptocurrencies on behalf of clients. Despite these measures, the Nigerian population continues to turn to Bitcoin and stablecoins like Tether (USDT) to protect their savings from inflation.
Bitcoin and cryptocurrencies are particularly appealing in Nigeria due to the high number of unbanked individuals and millennials in the country. With a significant portion of the population lacking access to traditional banking services and facing high inflation rates, cryptocurrencies offer an alternative means of preserving asset value. The preference for Bitcoin and Tether over the Nigerian Naira suggests a growing reliance on digital currencies for both savings and daily transactions, highlighting a potential area of tension between the government’s regulatory efforts and the population’s financial practices.