The Central Bank of Nigeria’s (CBN) inability to maintain Nigerians’ interest in Africa’s first digital currency, the eNaira, has created space for Bitcoin and other cryptocurrencies to thrive.
From October 24, 2021, to October 30, 2022, Nigerians’ interest in eNaira momentarily outpaced that of cryptocurrencies, indicating that the eNaira launch had a broad appeal and that most Nigerians were eager to see what the CBN could offer.
However, after the launch of the eNaira on October 25, 2021, interest in Nigeria’s digital currency quickly started to trend downwards rapidly. While interest in Bitcoin and cryptocurrency consolidated around the same period.
According to data, interest in the eNaira has fallen to historic lows, similar to regions before the announcement of the eNaira.
October 24-30, 2021, according to data, interest in the eNaira was at 43, while interest in cryptocurrencies was at 41. However, the interest on eNaira as of March 20-26, 2022 was at less than 1 index point compared to the 43 index points on October 24-30, 2021.
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Yobe, Kano, Adamawa, Zamfara, and Jigawa states are currently the most interested in eNaira. While Ebonyi, Anambra, Enugu Kano, and Akwa Ibom led the way in cryptocurrency interest.
However, the flagship cryptocurrency, Bitcoin, continues to pique Nigerians’ curiosity above searches on eNaira and cryptocurrency searches. Anambra, Delta, Bayelsa, Edo, and Ebonyi were among the states that were interested in bitcoin.
In January 2017, the CBN issued a circular titled “Circular to Banks and Other Financial Institutions on Virtual Currency Operations in Nigeria,” citing concerns about virtual currencies’ unregulated and anonymous nature, as well as the risk of criminal abuse.
Even though the CBN did not outright ban cryptocurrencies, it did prohibit regulated institutions from aiding or participating in crypto transactions. All financial institutions in the country have been told to identify and cancel any cryptocurrency dealers’ and exchanges’ accounts.
Also, in a circular dated 5th February 2021 and distributed to regulated financial firms, the apex bank of Africa’s largest economy warned and reminded local financial institutions against having any transactions in crypto or facilitating payments for crypto exchanges.
READ ALSO: e-Naira launch fails, CBN gives excuses
Nyakno Udoette expressed dissatisfaction with the platform’s implementation and capacity to gain public trust. He said, “I think there should have been a better testing phase where a few selected persons would have been on board to test the eNaira platform.
“I’m sure all missing items and bugs would have been identified and fixed before being launched for the use of all. Now, this app is getting more negative comments than positive reviews and this will impact negatively on the psyche of intending users. It’s a financial application and should be built in a manner that will earn the trust of its users.
Precious Ajuru had similar complaints about the technology front. She said found it difficult to sign up and has tried several means at different times all to no avail. She has however given up on her attempts to sign up to the platform.