- Nigeria took center stage this week as its Senate debated how to keep its currency afloat amidst the rise of Bitcoin.
- The discussion sparked discussion about what phase of adoption the orange coin is currently in.
- A $1.5 billion Bitcoin buy from Tesla started off what many called a critical week in crypto news.
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Bitcoin’s busy week was punctuated by a unique discussion in the Nigerian senate.
Nigeria’s Bitcoin Problem
Financial markets often seem to happen in just a few large metropolitan areas. The industry cites Wall Street or the City of London, for example, as global financial hubs. These references do sometimes extend to different parts of Asia as well.
This week, though, Nigeria took center stage. And not for reasons you’d expect.
During a senate hearing, Nigerian politicians began discussing how to save their local currency amidst the rise of Bitcoin. Already, the country’s central bank has ordered the closing of customer accounts linked to cryptocurrency. Retail banks that don’t follow the mandate risk hefty fines. Binance followed after and began delisting Nigerian Naira pairs.
At the senate meeting, however, one politician claimed that “the technology is so strong that…[he doesn’t] know the kind of regulations [they] can do” to stop it. The same politician, Sani Mohammad Musi, went on to say that “Bitcoin has made our currency almost useless or valueless.”
After the United States, Nigeria moves the most BTC volume on the crypto marketplace Paxful. It’s also hugely popular on peer-to-peer platforms like LocalBitcoins.
Bitcoin is so popular due to the slow devaluation of the country’s local currency, the Naira (NGN). It’s also crypto-enthusiasts’ preferred narrative. Instead of losing value due to inflation and government intervention, citizens should buy sound money to protect…