Is CBN secretly pushing people toward Bitcoin with the way naira is falling?

[DonaldCryptoTalk1]

We all know Bitcoin adoption in Nigeria keeps increasing, but I’ve been wondering if the Central Bank itself is indirectly helping this happen.

The naira keeps losing value almost every month. Access to dollars is restricted, and banks hardly give you forex. Cash scarcity episodes in the past made people look for digital alternatives. At the same time, P2P trading is booming even though CBN tried to clamp down on it.

So the question is: isn’t the CBN, by its policies and inability to stabilize the naira, actually pushing more Nigerians toward Bitcoin and USDT? Many shop owners and students I know are now saving in crypto, not because they “believe in Bitcoin ideology,” but simply because naira is too weak.

What do you guys think, is this intentional or just the natural result of weak monetary policies? And will CBN eventually have no choice but to regulate Bitcoin instead of fighting it?

[Jubilee58]

We are all aware of the economic situation of the country and how our currency has been devalued, obviously people are looking for a away of saving their money against the devaluation of naira. This is the more reason why people are now saving their money both in USDT and in bitcoin. This currency devaluation is as a result of monitory policies that is affecting the stability of naira, I think saving in stable coin or bitcoin is the is a wise decision, because further devaluation will continue to worsen the stability of the currency.

[Charles-Tim]

We should not all the time be condemning our country. I can still remember that in the beginning of this year, a dollar to naira was around $1600. There was even a time it went above $1620. But right now, a dollar to naira is around $1535.

Naira recently is among the first 10 Africa countries with strong performance.

About your question, people even in well developed countries are still thinking that United States dollar is an inflationary currency and they use assets like gold as a hedge while some people are now going for bitcoin as an alternative.

[Spaceman1000$]

We all know Bitcoin adoption in Nigeria keeps increasing, but I’ve been wondering if the Central Bank itself is indirectly helping this happen.

The naira keeps losing value almost every month. Access to dollars is restricted, and banks hardly give you forex. Cash scarcity episodes in the past made people look for digital alternatives. At the same time, P2P trading is booming even though CBN tried to clamp down on it.

So the question is: isn’t the CBN, by its policies and inability to stabilize the naira, actually pushing more Nigerians toward Bitcoin and USDT? Many shop owners and students I know are now saving in crypto, not because they “believe in Bitcoin ideology,” but simply because naira is too weak.

What do you guys think, is this intentional or just the natural result of weak monetary policies? And will CBN eventually have no choice but to regulate Bitcoin instead of fighting it?

People are adopting Bitcoin for their personal reasons, some might be for investment and not exactly about the fact access to dollar is restricted by banks,  however the lost of value of our local currency is because of our economic situation, we are not a producing nation, we are more of a consuming nation, so you don't expect your currency to be performing side by side with the Japanese yen in terms of currency value, so what you produce determines the value your currency carries in the international market. The current CBN has been able to stabilize the exchange rate at the moment, I think this was done by floating the naira.

[xiamin]

Our government has taken a direct stance against Bitcoin, yet our country is far ahead of other countries in terms of Bitcoin adoption by many investors. Extraordinary people have more confidence in Bitcoin and other digital assets than their local currency and they are regularly depositing Bitcoin. One of the main reasons for the continuous decline in the value of the Naira is the increase in inflation. As the amount of reserves in the central bank decreases, the amount of foreign debt is increasing, which has a negative impact on every aspect of business. I think another reason for the weakness of the Naira is weak monetary policy formulation and corruption.

[Tonimez]

The good thing is that Nigeria youths are getting wiser every day and are trooping into bitcoin daily. Every wrong decision made by the CBN is a win win for bitcoin holders. Naira has fallen so much that the hope of regaining itself is so tiny. Dollar is currently at #1529 and bitcoin at $110k.

CBN may not have any hope to favour the bitcoin but because of their personal interest as regards the dollar which most of our leaders have hurdled, they go try everything possible to crash the Naira make their money dey rise.  The naira has experienced several significant devaluations throughout Nigeria's modern economic history, each typically coinciding with major drops in global oil prices. 

In 2016, following the global oil price collapse to around $28 per barrel, the Central Bank of Nigeria (CBN) was forced to devalue the naira from ₦197 to ₦305 against the US dollar. This represented a 35% loss in value as the country struggled to maintain foreign reserves and fiscal stability.

The COVID-19 pandemic triggered another significant devaluation in 2020, with the naira falling approximately 24% from ₦361 to ₦410 per dollar as oil prices temporarily crashed below $40 per barrel. See

The continuous dependence of Nigeria on crude oil is the major set back to Naira and it's unarguably more profitable to leave your money in bitcoin than the Naira. So in one way or the other, even unintentionally, the CBN would always favour the bitcoin as long as they support hike in fuel pump prices due to drop in price per barrel.

[Joy- maker]

Naira has already falling and Naira don't longer have value like before, so Since Naira has no value like before and the government of our country Nigeria is not ready to do anything about it majority of Nigerians now prefer to save their wealth in bitcoin, because they see bitcoin as a safe heaven for storing their wealth. And This attitude of storing wealth in bitcoin and p2p trading has made the adoption of bitcoin to increase in Nigeria. Nigeria is now the number country in Africa that have adopted  bitcoin very deep.

[Cryptohygenic]

We all know Bitcoin adoption in Nigeria keeps increasing, but I’ve been wondering if the Central Bank itself is indirectly helping this happen.

Nothing like that. The Cbn authorities dey autonomous way give Dem the legal rights to decide any monetary matters for we country. We also know say Dem dey work in conjunction with the fed govts. So as u see am, power dey there hands to decide the crypto policies and regulations for Naija. So if this body get such ambition for us to adopt bitcoin and crypto, dem go make am obvious by reviewing the current regulating policies way don lead to place crypto on temporary ban for the govts financial institutions.
Wetin only dey there be say dem give free hands for everyone private person to take decisions while risks na individual cup of tea onto em decentlization.

[Man of peace]

The higher inflation of naira makes people to look for a store of value and that was why people are moving into cryptocurrency exchanges for a better stock of value .

Central Bank of Nigeria (CBN) is not deliberately pushing people into bitcoin it was the continuous persistent depreciation of naira that made alot of people to lose hope about naira .the savings in naira is totally depreciated and it really affects the purchasing power and that makes people to seek for an alternative means of savings and that lead to the Bitcoin..

[CryptopreneurBrainboss]

What do you guys think, is this intentional or just the natural result of weak monetary policies? And will CBN eventually have no choice but to regulate Bitcoin instead of fighting it?

I don't believe it's intentional, if they knew it'll get to this they won't have done it to begin with. They thought fighting Bitcoin will stop the society from having interest but their plans failed. Infact I like the fact that the government aren't being friendly to Bitcoin because that's what has helped alot in making the industry popular among the youths that are always rebellious to the government. I don't believe the government will adopt Bitcoin to the extent that it'll become an accepted currency in Nigeria. What I think is they'll just ignore it. Nobody wants to give up power and not especially the Nigerian government, they won't put Bitcoin over the Naira then lose control to the public.

[DonaldCryptoTalk1]

What do you guys think, is this intentional or just the natural result of weak monetary policies? And will CBN eventually have no choice but to regulate Bitcoin instead of fighting it?

I don't believe it's intentional, if they knew it'll get to this they won't have done it to begin with. They thought fighting Bitcoin will stop the society from having interest but their plans failed. Infact I like the fact that the government aren't being friendly to Bitcoin because that's what has helped alot in making the industry popular among the youths that are always rebellious to the government. I don't believe the government will adopt Bitcoin to the extent that it'll become an accepted currency in Nigeria. What I think is they'll just ignore it. Nobody wants to give up power and not especially the Nigerian government, they won't put Bitcoin over the Naira then lose control to the public.

You made a good point that government resistance has actually fueled more interest among the youth. Many people naturally get curious about anything the authorities try to suppress. But at the same time, the falling naira is exposing the weakness of our monetary system, and that’s something beyond just “rebellion.”

Whether intentional or not, the truth is Nigerians are being pushed to look for alternatives that hold value better than the naira. Even if CBN ignores Bitcoin, people will keep using it because money always flows to where it is treated best. The question is no longer if Nigerians will adopt it, but how far CBN will go before they eventually set clear regulations.

[DonaldCryptoTalk1]

We should not all the time be condemning our country. I can still remember that in the beginning of this year, a dollar to naira was around $1600. There was even a time it went above $1620. But right now, a dollar to naira is around $1535.

Naira recently is among the first 10 Africa countries with strong performance.

About your question, people even in well developed countries are still thinking that United States dollar is an inflationary currency and they use assets like gold as a hedge while some people are now going for bitcoin as an alternative.

That’s a fair observation. The naira has shown small signs of recovery compared to earlier this year, but the bigger concern is consistency. Businesses and individuals need stability they can plan around, not just short term relief.

Your point about the dollar is also valid. Even in advanced economies people hedge against inflation with assets like gold and now Bitcoin. For Nigerians, the falling and unstable naira makes that hedge even more urgent. So whether the CBN intends it or not, the pressure is naturally pushing people toward alternatives like Bitcoin and stablecoins.

[EarnOnVictor]

We all know Bitcoin adoption in Nigeria keeps increasing, but I’ve been wondering if the Central Bank itself is indirectly helping this happen.

The mindset of the average Nigerian I know would rather invest in Bitcoin as an asset to gain money than think of it as a hedge against Naira. That is why you see them liquidating when it has reached a higher price, and of course, there will be a few exceptions, yet this doesn't stop that mentality, it will only show a distinction on how long they hold their asset.

However, with the high price of Bitcoin, is it even best to invest in it against the depreciation of the Naira? I think people will prefer the USD, USDT, and USDC and other stable coins for this purpose, for many reasons.

[Obari]

What do you guys think, is this intentional or just the natural result of weak monetary policies? And will CBN eventually have no choice but to regulate Bitcoin instead of fighting it?

You already answered yourself that people’s migration to the adoption of cryptocurrencies is more as a result of the natural result of weak monetary policies And typically I don’t want the government regulate cryptocurrencies but as it stands now, the government is already having a good stand in the cryptocurrency decision making of the country and as we all, almost all the exchanges are getting centralized and registered to be able to operate in the country and just as we all know, we need to get KYC done to enjoy full privileges of the exchange.

[Somto9Light]

We all know Bitcoin adoption in Nigeria keeps increasing, but I’ve been wondering if the Central Bank itself is indirectly helping this happen.

Bitcoin adoption is seriously increasing in nigeria no doubt but not in all part of nigeria for example in my own side where I live I have just seen few persons talking about bitcoin even though some persons might choose to keep it secret so as for people not to know that they're into bitcoin investment but I want to tell you that people who are holding bitcoin here are very few, but that's not the case. Moreover I believe that with time those who are yet to invest into bitcoin will start making attempt, And yeah, I think CBN is indirectly chasing people away from Bank as majority is now looking for other alternatives because the manner at which the Bank is deducting Money from thier customers is not funny anymore.

[Curious T]

Many shop owners and students I know are now saving in crypto, not because they “believe in Bitcoin ideology,” but simply because naira is too weak.

A lot of these people that are into crypto are not into it because the naira is weak, they're into it because the country is too hard and people are just looking for any where they can make money from, however little it might be. This is why a lot of Nigerians were involved in the wave of airdrop when it was tapping, referrals and other games. A lot of them did not even have an idea what a token or coin was, but because they could make money from it, they did it.

The average Nigerian who knows and understands crypto will prefer to save their money in a stable coin to Bitcoin if they're trying to protect it against inflation and the weak naira, except it's someone who is a Bitcoin enthusiast.
They do not want to take the risk of saving their money somewhere they can lose it, so they will play it safe. 

[Cryptohygenic]

Many shop owners and students I know are now saving in crypto, not because they “believe in Bitcoin ideology,” but simply because naira is too weak.

How person want take invest or hold on bitcoin if em no care and put the technological factors or risk factors into considerations in order to understand am before em go begin use am way be say no be traditional technology way don exist before dem born us?
The only tin be say people don dey and others still dey way dey doubt bitcoin bcos govts way dem blindly trust to lead us fairly no support am, so e cause adoption discouragement but nevertheless, people way don understand say the formations and potentials of bitcoin later see am on the positive. And understanding say bitcoin na decentralized finance way resists regulations, na for we all to understand say the govts go want dey against am and secure their own interests for Naira.

[Coin_info]

We all know Bitcoin adoption in Nigeria keeps increasing, but I’ve been wondering if the Central Bank itself is indirectly helping this happen.

The naira keeps losing value almost every month. Access to dollars is restricted, and banks hardly give you forex. Cash scarcity episodes in the past made people look for digital alternatives. At the same time, P2P trading is booming even though CBN tried to clamp down on it.

The CBN is an extension of the government, and because of that, they are bound to follow what the general government policy is concerning bitcoins. I dey reason something say, e fit dey possible say the person wey dey occupy the major role as Oga for CBN fit nor get any major issues with bitcoin, but based on say na that position e occupy, e gats comply to the rules wey dey ground already. So because say some of these guys nor really dey against bitcoins, dem nor go really dey put eye for people matter like when e cun be say the person nor like bitcoins normally, then e cun dey occupy that government position wey e go fit spoil bitcoin usage well well. I just dey think out loud.

[CryptoHeadlineNews]

So the question is: isn’t the CBN, by its policies and inability to stabilize the naira, actually pushing more Nigerians toward Bitcoin and USDT? Many shop owners and students I know are now saving in crypto, not because they “believe in Bitcoin ideology,” but simply because naira is too weak.

The truth of the fact is that every single individual wants value for whatever money they have ever worked for in life,  and it's quite unfortunate that our Nigerian banking system can't offer us that, which is why many people today who has a huge sum of money and aren't in business who requires it's daily usage opt into investing in Bitcoin which happens to be the "Safe heaven" of digital asset in our recent era. And it's true that with CBN's failed policy about regulating our Nigerian Naira has actracted many into abandoning it for stable coins or Bitcoin. Because I just  checked the price of Dollar to Naira right now and actually surprised to see that it has actually fallen from 1,535NGN to now 1,514.5NGN as shown below. Which is actually not encouraging at all.

And will CBN eventually have no choice but to regulate Bitcoin instead of fighting it?

We don't even need them to regulate it, because we are very fine now without government involvement in p2p transaction. Because I trust those guys, dey no dey sabi do anything apart from tax tax and tax. That's all they sabi.

[Jegileman]

So the question is: isn’t the CBN, by its policies and inability to stabilize the naira, actually pushing more Nigerians toward Bitcoin and USDT? Many shop owners and students I know are now saving in crypto, not because they “believe in Bitcoin ideology,” but simply because naira is too weak.

CBN inability to stabilize naira has nothing with pushing agenda towards making Nigerians to embrace dollar and bitcoin, it is practically happening as it is. It is a new technology that Nigerians have found great opportunity in and have already taken advantage of it. Many shop owners and those embracing Naira is because they also want to be part of the new technology and not to be left out, diversifying their way of receiving payment for their services will help them sell more. This has nothing to do with the CBN or government.

What do you guys think, is this intentional or just the natural result of weak monetary policies? And will CBN eventually have no choice but to regulate Bitcoin instead of fighting it?

CBN cannot fight bitcoin because it’s a decentralized currency. If the government of top countries can’t clamp down on Bitcoin, what makes you think the CBN will do the same and succeed. Their fight is again dollar and how the naira will be more valuable in place of dollar. The Nigerian Naira is not as weak as we use to see it in recent months. This was not how it was at the beginning of the year, but has now gain some strength already. So, this is a good step towards strengthening our own currency.