In Nigeria, bitcoin is more expensive than the current market value

Despite the fact that bitcoin was trading around $ 23,000 on January 30, the value of the flagship crypto market on the popular Nigerian exchange NairaEX jumped to $ 38,935. The difference in the figures is due to the policy of the local regulator — the country is experiencing unprecedented inflation of 21.34%. To slow down the economic regression, the Central Bank of Nigeria has restricted cash withdrawals and demonetized the currency.

#Bitcoin is Hope‼️

BREAKING: ?? Bitcoin is selling for a 60% premium in Nigeria (37,235 USD) because of increased demand.

the Central Bank of Nigeria started limiting cash withdrawals to $ 44 per day earlier this month.

Now leads the world in Google searches for «Buy #Bitcoin «pic.twitter.com/SI861WUhVy

— SHIB Bezos (@BezosCrypto) January 29, 2023

According to the regulator’s order, the daily equivalent limit is $ 217 for total cash withdrawals and $ 43.5 for one-time withdrawals. High fees will be charged for exceeding the limit. ATMs are allowed to load bills of no more than 200 naira (approximately $ 43.5).

Back in December 2022, Nigeria drastically reduced the amount of cash that individuals and legal entities can withdraw — the country’s authorities are trying to promote the «Cashless Nigeria» political campaign. The government policy is aimed at using eNaira, the Central Bank Digital Currency (CBDC). According to the CBDC tracker of the American think tank Atlantic Council, Nigeria is one of 11 countries in the world that have introduced CBDC into their economies.

Interestingly, the previous limits on daily cash withdrawals in Nigeria were $ 338 for individuals and $ 1,128 for companies. It should be added that according to Google Trends for 2022, Nigeria has become the country with the highest interest in cryptocurrencies in the world. Analysts estimate that more than 50% of the country’s adults invest in digital assets on a monthly basis. Many Nigerian citizens prefer to keep their savings in tokens rather than fiat currency, due to the constant devaluation of the Nigerian naira.