Adedapo Adesanya
By Adedapo Adesanya
Forty-seven per cent of Nigerians are actively engaged with crypto, a new study shows as the country finds safety in the currency amid worries about the foreign exchange rate.
According to insights by CoinJournal shared with Business Post, cryptocurrencies, including Bitcoin (BTC) and various alternatives, are no longer just investments for speculation, “They represent a significant change in how people view and use money, providing decentralized options compared to traditional financial systems.”
CoinJournal analyzed the data for the past three years, providing a comprehensive understanding of the current status of cryptocurrency adoption in 2023, as well as the percentage difference in the owners of cryptocurrencies between 2020 and 2023.
In Nigeria’s case, the country took the premier spot as it recorded an outstanding 15 per cent increase in crypto ownership over the past three years positioning it as a frontrunner in cryptocurrency adoption.
Even despite an active restriction on trading cryptocurrencies instituted by the Central Bank of Nigeria (CBN) that has been in place since 2021, the country saw a substantial 47 per cent engagement rate in 2023, which signifies a pervasive enthusiasm, potentially fueled by factors such as increased financial inclusion, economic uncertainty, and a rising interest in decentralized finance.
“Nigeria’s embrace of digital assets reflects a changing financial narrative within the country,” the report noted.
Turkey came next as it saw a 31 per cent jump in cryptocurrency ownership since 2020, alongside matching Nigeria’s adoption rate of 47 per cent in 2023. According to the report, this highlights the nation’s strategic commitment to digital currencies.
“The resonance with the population suggests that Turkey is emerging as a key player in the global cryptocurrency landscape, showcasing the effectiveness of its efforts in enhancing crypto infrastructure and fostering widespread adoption.”
For the United Arab Emirates (UAE), it has a 31 per cent adoption rate in 2023, reflecting sustained interest in cryptocurrencies. It has a 21 per cent increase in crypto owners from 2020 to 2023, which signals an accelerated pace of adoption, underscoring the technological advancements.
The UAE’s embrace of blockchain applications aligns with its commitment to consistent growth in cryptocurrency adoption. The noteworthy increase in crypto owners further emphasizes the accelerated pace of adoption, highlighting the expanding cryptocurrency community within the UAE.
Indonesia’s significant surge in reaching a 29 per cent cryptocurrency adoption rate in 2023, puts it in fourth, which reflects the effectiveness of government initiatives aimed at fostering cryptocurrency inclusion. The Asian nation’s substantial 16 per cent jump from 2020 indicates a progressive approach, showcasing the success of government efforts combined with an expanding digital infrastructure. This suggests a growing interest among Indonesians in embracing digital assets as part of their financial portfolio.
South America’s largest economy, Brazil, recorded a 28 per cent user rate in 2023 which is a 16 per cent increase from the 12 per cent adoption rate observed in 2020 underscores the impact of structural reforms and increased cryptocurrency literacy campaigns. Brazil’s growing interest in digital assets positions it as a notable player in the cryptocurrency space, highlighting the country’s rapid advancement over the past three years, the report added.
According to Mr Max Coupland from CoinJournal, “The data reflects a significant departure from considering digital assets solely as speculative investments, illustrating a broader transformation in how individuals approach and incorporate cryptocurrencies into their financial lives. The varying percentages of growth across these nations signify the resilience and adaptability of cryptocurrency markets, mirroring changing economic landscapes and the successful implementation of strategic initiatives. As cryptocurrencies cease to be mere financial instruments, this data underscores their pivotal role in shaping the future of global finance.”
