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Nigerian Entrepreneurs Benefit from Using Bitcoin




Picture Narrating Nigerian Naira and Bitcoin

Many businessmen in Nigeria are opting for handling their business using digital currency instead of the local currency Naira. the country's national currency seems to be more volatile than Bitcoin, at times.

As cryptocurrencies fight for relevance around the world, Nigerian citizens are starting to use Bitcoin as an alternative to country currency, Nigerian Naira. Data shows on TradingView that the currency has been losing its value consistently over the past 5 years.

Chat showing devaluation of the Nigerian Naira over the past 5 years.
With the unstable value of Naira, Nigerian entrepreneurs would rather deal with Bitcoin than Naira. an example is Silas Okwoche, co-founder of Nerve Mobile. The self-taught engineer was purchasing Android smartphones from China via Alibaba. However, when the Nigerian Naira fell over 15% against the Chinese Yuan, his venture came to an end. Overnight, his product became too expensive to purchase and resell.

But another Nigerian entrepreneur, named Temo, also acquires his hardware from China. However, unlike Silas, this tech-savvy businessman uses Bitcoin to manage his affairs. Whenever new hardware from China is needed, Temo exchanges Naira for Bitcoin through Local Bitcoins exchange like LUNO or a similar peer-to-peer marketplace and trades the digital currency for the Chinese yuan. 

Benefit

He claims exchange fees are much lower than traditional methods, and the transactions are completed at a much faster rate. When using banks, Temo needs to pay fees to both Nigerian and Chinese banks, and he'll most likely have to wait a week for his money to be available.

Another Nigerian success case is Soji, who works as a web designer in Lagos. 

"I can use Bitcoin for anything now . It means I can invest and also pay anybody currently, except old people, I will send them Bitcoin. But some people think it is a scam to deal in Bitcoin and they also fear being hacked, as many people do not know how to protect themselves online," said Soji. How to Protect Your Bitcoin Wallet


Thanks to cryptocurrencies, Soji is now capable of purchasing online goods and services, such as web hosting, where previously Naira was not accepted. 


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