cNGN Launch Suffers Setback, Postponed Until Further Notice

By Adedapo Adesanya

The launch of the Nigerian official stablecoin, cNGN, initially slated for February 27, 2024, has been postponed as it awaits regulatory approval.

The Africa Stablecoin Consortium, as the body behind the project is known, announced the development in a statement released on Monday evening.

The consortium, consisting of Pan-African banks, fintechs, and blockchain businesses, clarified the confusion surrounding the earlier media reports about the launch date scheduled for late next month.

It acknowledged the need for regulatory compliance and stated, “We are currently engaging with regulatory bodies, including the Central Bank of Nigeria, to participate in its regulatory sandbox programme.

“We aim to showcase the potential benefits of the cNGN ecosystem, ensuring a secure, transparent, interoperable, and innovative solution for digital asset transactions in Nigeria.”

The consortium assured that it will announce the official launch date of cNGN once it has received further guidance and approvals from all regulatory bodies, partners, and stakeholders.

The cNGN is a compliant and regulated consortium-driven stablecoin, pegged to the Naira (1:1) in the Reserve Bank account.

Unlike the Central Bank Digital Currency (CBDC) launched in 2021 — the eNaira, cNGN is managed by a consortium, not solely by the central bank and as such doesn’t have control over its interoperability.