STEEM CRYPTO CHALLENGE #4: THE FUTURE OF CRYPTOCURRENCY - CRYPTOCURRENCY INVESTMENTS IN NIGERIA.

Greetings @steemcurator, @steemcurator01 and the entire steemit team.

Hello steemits !!!!, Its being a great challenge all the way. Today we would be looking at the rate of cryptocurrency investments in Nigeria.

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Cryptocurrencies investors have been active in Nigeria since 2015. For the most part, however, crypto was related with Ponzi-schemes and internet fraud. However, despite this lack of initial support by the government, a false narrative about cryptocurrencies, and a deep economic recession, the Naira (NGN) is the 17th highest traded fiat pair with Bitcoin, globally, and the second-highest in Africa.

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Recession in Nigeria and Cryptocurrencies Investments
The recent economic recession in Nigeria, saw an estimated 17% inflation rise, the highest it had been in 13 years. Enthusiasts of cryptocurrency in Nigeria, have now taken to the practice of diversifying their investments as well as their investment portfolios in cryptocurrencies, following the lessons learnt from that recession

Also, the last economic recession in Nigeria coupled with an overpopulation problem has left a huge percentage of its working population, who are predominantly millennials, without jobs. This is the major reason why many Nigerians are therefore exploring unconventional financial opportunities beyond the Nigerian economic shores, such as migration, and cryptocurrency trading. Although there have been many reported cases of Ponzi related and fraudulent Bitcoin investment schemes, a large number nevertheless are active legitimate participants in the blockchain and cryptocurrency scene.

Importation at High Cost and Bitcoin Alternative
One of the biggest problems faced by Nigerian importers, is a high fiat currency exchange rate. With most of its imports coming from China, and considering the high volume of cryptocurrency transactions in China, it is becoming clear that Bitcoin is becoming increasingly important as a medium of exchange.
Some Nigerian importers are now beginning to bypass the conventional financial corridors they used in the past, and adopt cryptocurrencies like Bitcoin, to meet their FOREX needs.

Transfer Exchange
As at 2018, World Bank report, the cost of sending at least $200 across international borders is 7.1% on average. Even more, this average figure is reported to be about 9.4% in sub-Saharan Africa. Some Nigerians have resorted to using Bitcoin to send money to their families since it’s faster, cheaper, and uncensored.

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Nigerian Cryptocurrency Regulation Review
It is worthy to note that the Nigerian government is now making efforts to properly integrate cryptocurrencies into its socio-economic sphere. Recently a committee set up by Nigeria Security and Exchange Commission (SEC) released a roadmap report that would form what crypto laws will look like in the country. This covered issues like the classification of cryptocurrencies as assets, not currencies; a regulatory framework for cryptocurrencies; and many other devices to properly integrate the industry into the economy.

Now, cryptocurrency service providers and investors are positive about the future of cryptocurrency and the blockchain industry in the country.

The Future is here and now.

Thank you for reading

References
https://academy.aax.com/en/buy-sell-bitcoin/
https://academy.aax.com/en/the-nigerian-crypto-economy-and-bitcoin-sales-in-nigeria/
https://academy.aax.com/en/dimensions-101-bitcoin-dominance-altcoin-season-and-crypto-investments/
https://academy.aax.com/en/building-a-solid-crypto-portfolio-part-1/