Citing the shortage of money in Nigeria as an example, the local blockchain expert group stated that blockchain technology can help solve economic problems in Nigeria and the entire African continent.
At the Blockchain Technology Association of Nigeria (SIBAN) Digital Assets Summit 2023 in Abuja, Nigeria, stakeholders discussed the previous government’s decision to print new naira notes, Nigeria’s legal tender, as well as the country’s recent Efforts to realize digital assets. Increased adoption of Central Bank Digital Currency (CBDC), both leading to a shortage of naira traffic at the time.
Christopher Eniayemo, co-founder of the Sahara ICP Center in West Africa, said the decision to print the new naira banknote could be made within a decentralized finance (DeFi) system, giving Nigerians a voice and helping them be better prepared for the transition .
“Bringing blockchain systems to Nigeria and across Africa will help foster the advancement of DeFi and give citizens control over their money and their economies.”
Blockchain technology provides the technical infrastructure and principles that enable DeFi to operate in a decentralized, transparent and secure manner, providing users with a wide range of financial services without the need for traditional financial intermediaries.
However, the current Nigerian president, Bola Tiinub, released a manifesto during his election campaign that, if implemented, would allow the use of blockchain technology and cryptocurrencies in the country’s banking and financial sector.
related: Nigerian Central Bank Missed Opportunity for Blockchain Regulation in 2021 – Convexity CEO
declaration suggestion Review the Nigerian Securities and Exchange Commission’s existing digital asset regulations to make them more business-friendly. The new regulations provide a framework for the regulation of digital assets such as cryptocurrencies and other digital tokens in Nigeria.
In 2022, Nigeria will impose limits on the amount of cash that individuals and businesses can withdraw from banks and ATMs in an attempt to promote a “cashless Nigeria” policy and increase the use of its CBDC (eNaira).
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