The impact of government monetary policies and the introduction of a central bank digital currency are the reasons why it keeps rising in Nigeria as a result of its great economic instability.
The Central Bank of Nigeria has promoted a digital, cashless economy and introduced the eNaira, Nigeria's central bank's digital currency CBDC So far, adoption rates have been poor. As of its inception on October 25, 2021, less than 0.5% of the population reported using the eNaira.
The Central Bank of Nigeria has tightened its limits on ATM cash withdrawals, which will restrict individuals and businesses from ATMs from a maximum of 45 20,000 Nigerian nairas each day and $225 100,000 nairas every week.
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There is a weekly withdrawal cap for people and businesses of $225 100,000 nairas and $1,125 500,000 nairas respectively. Any funds taken out in excess of those restrictions would incur a 5% fee for individuals and a 10% cost for businesses. The demand for a free, decentralized currency likeBitcoin has surged as the government withdraws all circulating fiat from the market. An inflation of its price caused an exponential increase in Bitcoin trades. It is a 62% premium over the current global market price of Bitcoins, around $21,600.
Nigeria is on the rise in the interest in copy trading and trading bots, and the country is leading the charge in the adoption of these innovative financial technologies, according to a report by Tradingbrowser.com.
Nigeria's interest in trading bots and copy trading is showing no signs of slowing down with an impressive 800% and 1900% increase in Google searches for copy trading compared to the U.K. and the U.S. The report also found that mobile trading is a preferred method among Nigerians, with copy trading app being the top search term.
The growing trend towards innovative financial technologies is likely due to high levels of mobile phone usage, increasing fintech adoption, and as a means of navigating the uncertain economic climate.
Disclaimer: This content has been edited using AI tools and was reviewed and published by Benzinga editors.