The Confusing State of Cryptocurrency in Nigeria

The Confusing State of Cryptocurrency in Nigeria as local business announces Bitcoin as a mode of payment amidst crypto ban in the country

By Scopeman | Crypto in Africa | 27 Apr 2021

I have written severally on the cryptocurrency situation in Nigeria, since a memo was released by the country’s central bank which consequently impacted crypto exchanges in Nigeria and forced majority of transactions to go ‘dark’ by way of P2P (peer-to-peer) transacting of cryptocurrencies. Reports continue to suggest that was not a well thought out move as transactions have only been seen to increase since the memo was released, albeit under the radar.

However, the situation took on an even more confusing nature when recently a hotel and hospitality establishment in the commercial capital, Lagos, called George Residence, announced it will begin accepting payments in bitcoin.

According to a press release from the George Residence, “Starting this week, guests at the luxury shortlet apartment will be able to make reservations and bookings using the world’s fastest growing currency.” This move, asides coming with a lot of unanswered questions, positions the establishment as one of the first businesses in Nigeria to accept cryptocurrency as a mode of payment.

Of course, a lot of questions are being asked because there is an existing ban on cryptocurrency exchanges operating in the country. How are the customers supposed to make these payments if they cannot withdraw or deposit their crypto using their local bank account? Are they also looking to go ‘dark’ as well?

On the flip side, could this also be a sign that things are about to turn for good with regards to cryptocurrency in Nigeria? There have been recent reports of deliberations and discussions around the ban and several cryptocurrency exchanges and operators in the country have continued to assure Nigerians that all is well, and they are working to resume deposit and withdrawal services as soon as possible.

Fingers crossed that things turn out for the better. Perhaps if more businesses continue to acknowledge and accept crypto in Nigeria, it could give credence to the currency and spur the regulatory body to do a reversal on the ban and begin to align itself with cryptos advancement in the country and continent. We wait and see, meanwhile, let me go check if I have enough Bitcoin to check into a George Residence apartment for a few days to cool off 😊

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Author| Creative Media & Communications Specialist| Outlier. I am on a journey to discover the far-reaching benefits of cryptocurrency on the African continent, come with me!

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