Nigeria is now only second to the U.S. in bitcoin trading volume, hitting $2.4B in May from $684M in Dec 2020. The rise comes despite the Nigerian government's attempts to crack down on bitcoin.
- The surge in bitcoin holdings in Nigeria is attributed to political repression, currency controls, and high inflation.
- In February, the government banned crypto transactions through licensed banks.
- In July, the government announced a pilot scheme for a CBDC to reduce incentives for people using unregulated crypto.
- Remittances into Nigeria were worth more than $17B in 2020.
- Nigeria's currency, the Naira, has decreased 30% against the U.S. dollar over the past five years.