The growing popularity of cryptocurrency has elevated it to the status of a major financial asset, sparking considerable attention and debate in Nigeria.
Due to the weakening economy and Naira, holding cryptocurrency has become a must as a financial asset.
As a consequence, Nigeria, with a population of more than 200 million people, has emerged as Africa’s largest Bitcoin market.
Only a few years ago, it was impossible to acquire bitcoin in Nigeria, but that has changed in recent years.
There are already hundreds of new cryptocurrency exchanges catering to Nigerian customers, with some even having a physical presence in the country.
Despite the increasing attention, crypto adoption in the nation has yet to reach the mainstream, and many Africans remain ignorant of where they may buy bitcoin.
We’ll look at some of the best cryptocurrency exchanges for Nigerians to use.
Cryptocurrency Trading in Nigeria
Because of the various competing options available in the market, finding the right crypto exchange may be difficult – it may be an information overload.
When making this selection, keep the following aspects in mind: security, reputation, liquidity, accessibility, and if your preferred cryptocurrency exchange offers deposit and withdrawal options in Nigerian naira (NGN).
Other considerations to bear in mind when trading on an exchange include:
You should only invest money that you can afford to lose.
Expect volatility, since the cryptocurrency market operates on the supply and demand principle and can be particularly subject to a lack of liquidity or external financial, political, and economic variables.
When using an exchange, remember to employ security features such as biometric verification and two-factor authentication (2FA).
If you want total control over your cryptocurrencies, you should withdraw them from exchanges if you’ve held them for a long period. By letting you to keep your private keys offline, offline wallets give an extra degree of security. As soon as feasible, move your crypto assets from an exchange to a private wallet, ideally a hardware wallet.
Bitcoin to Naira (BTC)
Traders and Bitcoin investors in Nigeria may keep track of the BTC to NGN price by using the CoinMarketCap converter on the web or on their mobile device. To use the Bitcoin website’s currency converter, just change the currency to NGN in the upper right corner.
For Nigerian customers who are accustomed to trading on their smartphones, the CoinMarketCap app provides a simple option to convert BTC to naira. To convert BTC to Naira, simply tap on the converter icon.
Nigeria’s top 5 cryptocurrency exchanges and trading platforms:
The top 5 cryptocurrency trading platforms for Nigerians are shown below.
1. Binance Nigeria
Binance Nigeria is a Nigerian cryptocurrency exchange.
In less than four years, Binance has swiftly established itself as the premier cryptocurrency exchange (May 2021). Binance started in China and has subsequently expanded its services globally.
Binance’s success may be ascribed to its constant innovation, cheap transaction fees, and dependability. The exchange provides both basic tools for newbies and extensive trading capabilities for experienced traders.
Nigerian customers may now trade in Naira (NGN), and the exchange now offers two NGN trading pairs: BTC/NGN and USDT/NGN.
Binance will also include the NGN FIAT/NBN trading pair to its Nigerian P2P trading platform in February 2021.
The exchange once allowed direct deposits and withdrawals using Naira debit cards, however this option was discontinued owing to a Central Bank of Nigeria (CBN) regulation mandating financial institutions to stop processing payments for cryptocurrency exchanges.
Binance satisfies the liquidity standards due to its daily transaction volume of more than $34 billion.
It also contains over a hundred currencies, a significant variety of trade pairs, and unique features and services like as staking and DeFi farming. Binance is unique among Nigerians in that it has a physical presence in the nation.
Binance developed a peer-to-peer (P2P) platform to alleviate this regulatory issue by offering a safe environment for buyers and sellers to interact without incurring transaction fees.
Nigerians can get their hands on a variety of bitcoin goods, including decentralized funding (DeFi).
Regardless of market volatility, liquidity tokens can be staked to generate interest. Savings, launchpool, and vaults are among the various services available on the Binance platform.
Binance now offers mobile apps for Android and iOS devices, which enhance the trading experience. With the app’s tremendous features, traders may now trade spot, margin, and futures markets while on the go.
2. Nigerian Luno
Luno has recently risen to become one of Africa’s top crypto platforms, with a significant market share in Nigeria. Luno, which was launched in 2013, has expanded to a number of countries and is based in London, United Kingdom.
Nigerians may acquire cryptocurrencies with Luno using naira-based cards and domestic transfers. Users may also use the exchange’s Naira trading pairs to convert their crypto to cash and withdraw to their accounts. This service has been impacted by the CBN restriction, which went into effect in February 2021.
In addition to money and the USDC stablecoin, Luno supports major currencies like as Bitcoin, Ethereum, Litecoin, Ripple, and Bitcoin Cash.
The success of Luno may be credited to its mobile app, which is available for download on both old and new smartphones.
The software is straightforward and easy to use, allowing users to have a more enjoyable trading experience. The software includes a price analysis dashboard, charts, indicators, and other trading tools.
As the sole pure fiat-to-crypto exchange, Luno has extremely high transaction fees, which is a significant disadvantage for users. It also provides users with little trading options, making it unsuitable for day traders.
However, these disadvantages are small in comparison to the ease with which Luno may be utilized to acquire bitcoin in Nigeria.
Despite increased regulations, the exchange platform continues to develop and is positioned to become a big participant in the Nigerian cryptocurrency industry.
Quidax is a renowned Nigerian Bitcoin exchange that debuted in August of 2018.
It is Nigeria’s first exchange that meets and exceeds international standards.
Quidax is the only bitcoin exchange that accepts Naira deposits and withdrawals around the clock, seven days a week.
It also announced a 0% maker fee, making it the cheapest bitcoin exchange in Nigeria.
Quidax, which is situated in Malta, has never been hacked or scammed. You may access your Quidax wallet through the web or the Quidax app. Its online wallet, on the other hand, does not allow you to access your private key.
Quidax, a new peer-to-peer (P2P) service, currently accepts six currencies.
Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), Litecoin (LTC), Dash (DASH), and Tether (USDT) are the most popular cryptocurrencies.
4. Trust Wallet
Trust wallet is one of the most safe and trusted bitcoin wallets accessible. Ask the tens of millions of Trust Wallet users.
This open-source wallet may be used to buy, store, collect, exchange, and earn NFTs. You can swap bitcoin without leaving the Trust wallet app, and you can monitor charts and cryptocurrency prices.
Binance acquired Trust Wallet in 2018 and made it their official wallet.
With Trust wallet, you can buy Bitcoin in less than five minutes, earn interest on the cryptocurrency in your wallet, and save all of your collectibles (art and NFTs) in one place.
Trust Wallet supports over 150 currencies, including ERC 20 tokens. Because of its server-free technology, your assets are solely accessible to you.
Additional in-app security features include pin and biometric scanning.
Trust wallet has an easy-to-use UI and is cross-platform compatible.
5. Busha Wallet
Busha wallet is one of the finest bitcoin wallets to use in Nigeria. It’s not as well-known as the other crypto wallets we’ve covered.
The Busha wallet is a multi-sig wallet, which implies that signing and submitting a transaction requires the use of two or more private keys.
Multi-sig wallets are widely recognized as one of the most secure and dependable means of keeping bitcoin.
Busha is intended to make trading and purchasing bitcoin and other cryptocurrencies as easy as possible for everybody.
While Nigerian politicians remain opposed to crypto exchanges, fearful of the economic, financial, and political ramifications and instability they may bring, the country’s rising popularity of digital assets speaks well for the future of exchanges in Africa’s most populous country.
Dealing with established global trading platforms is probably the safest option when it comes to using digital asset exchanges in Nigeria because you know that every aspect — from support to security to liquidity to compliance — has been thoroughly reviewed and satisfactorily addressed in accordance with international standards.