Nigeria’s Blockchain Startups Thrive Amid Regulatory Uncertainty

February 18, 2021

2 minutes read

Nigeria’s Blockchain Startups Thrive Amid Regulatory UncertaintyDespite regulatory challenges and a recent clampdown on cryptocurrency activities by Nigeria’s central bank, the country’s blockchain startups are experiencing significant growth. On February 18, 2021, industry experts reported that Nigerian blockchain companies are finding ways to thrive by adapting to new circumstances and diversifying their business models.

The Central Bank of Nigeria (CBN) had earlier issued a directive banning financial institutions from facilitating cryptocurrency transactions, citing concerns over illicit activities and lack of regulatory oversight. This decision created uncertainty in the blockchain and cryptocurrency space, with many fearing it would stifle innovation in a growing sector.

However, blockchain entrepreneurs in Nigeria have been quick to pivot and adapt. Many startups have shifted their focus from cryptocurrency exchanges to other blockchain-based services, such as decentralized finance (DeFi), smart contract solutions, and blockchain for supply chain management. By doing so, they are tapping into the broader potential of blockchain technology beyond cryptocurrency.

“Nigerian blockchain startups are proving resilient despite regulatory uncertainty. They are leveraging blockchain for practical applications that address real-world problems in sectors like finance, agriculture, and logistics,” said Chimezie Chuta, Founder of Blockchain Nigeria User Group.

One of the startups at the forefront of this growth is KoinKoin, a Lagos-based blockchain firm that specializes in cross-border remittances using blockchain technology. In response to the regulatory changes, KoinKoin has expanded its services to offer blockchain-powered solutions for businesses, helping them to streamline operations and reduce costs.

In addition, several Nigerian blockchain firms are participating in global accelerator programs and receiving international recognition. These firms are attracting venture capital funding and forming partnerships with companies abroad, further demonstrating the growing influence of Nigeria’s blockchain industry.

While the regulatory landscape remains uncertain, the Nigerian government has expressed a willingness to explore blockchain applications, particularly in non-cryptocurrency sectors. In January 2021, the Nigerian Securities and Exchange Commission (SEC) indicated plans to work on a regulatory framework for digital assets, which could provide clarity and support for blockchain innovators.

Despite these challenges, Nigeria remains a leading hub for blockchain technology in Africa. Industry leaders continue to advocate for regulatory reforms that will foster innovation while ensuring compliance with financial regulations. As blockchain startups navigate these hurdles, they are positioning Nigeria as a key player in the global blockchain ecosystem.

Share:
Subscribe
Notify of
guest
0 Comments
Oldest
Newest Most Voted
Inline Feedbacks
View all comments

Related Links

skynews-qatar-middle-east_6743414

Qatar Summit Condemns Israel’s Doha Strike on Hamas

Qatar convened an emergency summit on Monday, September 15, 2025, uniting Arab and Islamic nations. ...

UN Hotel

Belem Hotel Costs for COP30 Push UN to Limit Delegates

Brazil’s coastal Amazon city of Belem will host the COP30 climate summit in November 2025. ...

NBS

Nigeria’s Inflation Rate Drops to 20.12% in August 2025

Nigeria’s inflation rate slowed significantly in August 2025, easing to 20.12% from 21.88% in July, ...

Aliko Dangote

Dangote Launches 4,000 CNG Trucks, Denies Monopoly Claims

On Monday, September 15, 2025, Aliko Dangote, President of Dangote Group, unveiled 4,000 Compressed Natural ...

Latest News

Today in History

September 15th is the day in 2008 that Lehman Brothers files for Chapter 11 bankruptcy, the largest bankruptcy filing in U.S. history.

Exchange Rate Per Dollar

AM Armenian Dram382.1569
GH Ghana Cedi12.215
GM Gambian Dalasi70.5
GN Guinea Franc8,669.82
NG Nigerian Naira₦1,499.51
CF CFA Franc BEAC557.3307
15 Sep · CurrencyRate · USD
CurrencyRate.Today
Check: 15 Sep 2025 19:05 UTC
Latest change: 15 Sep 2025 19:00 UTC
API: CurrencyRate
Disclaimers. This plugin or website cannot guarantee the accuracy of the exchange rates displayed. You should confirm current rates before making any transactions that could be affected by changes in the exchange rates.
You can install this WP plugin on your website from the WordPress official website: Exchange Rates🚀

YOUR THOUGHTS

Let us know what you think

Contact the People’s Paper with feedback on stories and how we could make wapress.africa even better!

newsletter image

Stay up to date with the latest from West Africa Press

Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on WApress.

Subscribe Newsletter!

Be the first to receive our latest contents and more...

Need help?