Nigerians are optimistic the planned central bank’s digital currency (CBDC), also known as e-Naira, is going to increase payments at the border and “make it easier for Naira to be widely used and accepted.”
E-Naira has launched a boon for crypto
In fact, according to a VOA report, some Nigerian blockchain experts such as Janet Kati also believe that the e-Naira launch will work in favor of cryptocurrency. Prior to the Central Bank of Nigeria (CBN) February directive, the use and transaction of cryptocurrencies in Nigeria had increased due to epidemic-related movement restrictions.
However, along with this growing popularity, Naira’s devaluation eventually forced the CBN to act. Shortly after ordering banks to crack down on crypto players, CBN launched an e-Nair campaign that claimed to “facilitate financial transactions and improve the long-term value of the Nigerian currency.”
The role of CBDC in the fight against corruption
Although CBN has not yet announced a new launch date for e-Nair, some Nigerians, such as digital strategist Daniel Yerima, are still hopeful that the central bank’s digital currency (when launched) will help authorities curb corruption and money laundering.
“Everything built on the blockchain is very safe and secure. Another thing is that it is universal, the benefits they want to get through e-Nyara is that it will be used for both international and local trade and to fight corruption.
Despite optimism by both CBN and blockchain experts, there are ongoing concerns that “the rise of CBDC will stop the role of mediating banks and give the central bank more control over citizens’ financial rights” Yet another Nigerian blockchain expert, Jadel Chidi, disagreed.
Instead, Chidi said he predicted CBN would eventually “create a portal where every e-Naira user would be able to access their e-wallet through a database already in their bank.”
Do you agree that the rise of e-Naira will help curb corruption and money laundering? Let us know what you think in the comments section below.
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