The adoption of cryptocurrencies continues to rise, with Nigerian crypto companies discussing the potential adoption rate of the stablecoin project cNGN. This comes after the Central Bank of Nigeria (CBN) approved the project, contrasting it with the country’s central bank digital currency (CBDC), the eNaira.
The Africa Stablecoin Consortium (ASC), a collaboration of Nigerian banks and fintechs, announced cNGN, a stablecoin designed to benefit token holders and the Nigerian economy. Nigerian crypto analyst Rume Ophi believes the crypto community will appreciate the new stablecoin project.
Ophi suggests cNGN’s success depends on promotion and the consortium’s efforts to educate the community about its features and capabilities. He also notes that Nigeria, being a hotspot for crypto in Africa, will likely see cNGN listed on most exchange platforms.
Despite ASC’s claims that cNGN will complement Nigeria’s multi-purpose stablecoin ecosystem eNaira, a post by Finna Protocol X highlighted that a public blockchain stablecoin complementing another on a private blockchain is nearly impossible. Finna Protocol believes the inclusion of major partners in the cNGN consortium indicates significant business support upon launch.
While countries like Kenya, South Africa, and Nigeria lead in blockchain and Web3 adoption in Africa, Nigerian citizens show disinterest in eNaira, reflecting its adoption challenges. Ophi criticizes Nigeria’s CBDC project as a perceived government attempt against the crypto industry. CBN has approved ASC’s cNGN stablecoin project for regulatory crypto space use as a pilot by January 4, 2024, with the consortium planning to launch the new stablecoin on February 27, 2024.