Nigeria has the largest cryptocurrency market in Africa, It is estimated that 6.3% of Nigerians currently own at least one form of cryptocurrency.
According to a Chainalysis research paper on ‘The 2021 Geography of Cryptocurrency Report,’ released in October 2021, Nigeria is ranked 6th in the global crypto adoption index with an index score of 0.26.
The expanding influence and popularity of crypto have made it a pecuniary asset that is a subject of profound interest and speculation in Nigeria. This brings to the fore the question of a credible cryptocurrency trading app. There is frequent news about scams and loss of money by traders/ investors a few years ago.
It used to be a very daunting task to purchase crypto in Nigeria, but this has changed in contemporary times. There are now a plethora of crypto apps that support crypto services for Nigerian users.
In this article, we will be reviewing (with the yardstick of efficiency, simplicity and customer feedback) the five best crypto trading apps available to Nigerians.
Top of our list is Binance, unarguably the largest and most popular cryptocurrency exchange in the world. It offers a simple, classy and easy-to-use interface for noobs and compounded trading tools for professionals.
Traders can access naira (NGN) trading pairs and the exchange currently supports two NGN trading pairs – BTC/NGN and USDT/NGN all at a minimal trading fee(usually paid in BNB). Nigerians can also access extensive crypto products, including decentralized finance (Defi) and stake liquidity tokens to earn interests regardless of market fluctuations.
Other features include savings, launch pool and vaults.
CBN directive and the advent of Binance p2p
The platform previously allowed direct deposits and withdrawals from Naira debit cards and bank transfers, but that feature was suspended following the Central Bank of Nigeria (CBN) directive that mandated financial organizations to cease processing payments for crypto exchanges.
To bypass this regulatory issue, Binance developed in Feb 2021, a P2P trading platform that provides a safe environment for buyers and sellers to transact at zero transaction fees.
Gigxpad (widely tagged- the crypto bank) is an emerging exchange that is gradually becoming marketable in the Nigerian crypto space.
This platform enables users to buy, store, swap, send, borrow, stake, and earn returns from real-world business assets directly with close to zero fees. They have Android and iOS mobile apps and an easy-to-navigate website.
The mouth-watering affiliate scheme
Out of the numerous outstanding features of Gigxpad, the most appealing is the referral option made available to users. Verified users are to get a whooping $5 on every single user they refer to trade and complete a transaction worth just $100. Arguably the most rewarding referral scheme in the crypto space!
Paxful is an online marketplace that allows buyers and sellers to meet online and exchange Bitcoins. Paxful allows a wide range of payment methods and purchase options that cannot be found on traditional exchanges.
Paxful offers users the ability to buy Bitcoin with almost any payment method imaginable. It also offers a payment processing service for websites, making it easy for merchants to accept over 300 payment methods.
Nigeria as a central market
According to data shared with CoinDesk, Nigeria is Paxful’s biggest market to date, with around 1.5 million users and $1.5 billion in trade volume. Ray Youssef, CEO of Paxful during CoinDesk TV’s ‘First Mover’ said the number of transactions on Paxful in Africa, combined with Google searches primarily from Nigeria, reflect the ‘tremendous momentum’ around cryptocurrency adoption.
Paxful supports only one cryptocurrency, which is bitcoin. There are no features of Ethereum, Litecoin, USDT, XRP and others.
No fee policy
No payment of fees during bitcoin purchase on the site. However, different sellers may charge a fee or a premium, depending on the payment method. Paxful sellers pay a 1% commission to the business.
Huobi is one of the largest cryptocurrency exchanges in Nigeria, it is currently headquartered in Singapore. The exchange supports both ICO tokens and cryptocurrencies and emphasizes the future development of the Blockchain economy.
With over 300 cryptocurrencies and tokens, the Huobi website and app has an easy user interface. The website is easy to navigate and balances functionalities, visual pleasure, and elegance. There are proper price feeds, charting tools, market depth data organized structurally within the trading interface.
It also employs a high level of cyber security mechanisms with responsive customer support.
User protection fund
The platform is indeed a reliable one, there are a number of distinctive features but the User Protection Fund stands out. It is quite impressive for a platform like Huobi to set aside reserve funds for users that will act as insurance coverage if any unforeseen breaches or hacks occur.
The Huobi platform is compatible with multiple platforms like Mac, Windows, iOS, and Android.
Huobi does not support fiat deposits and withdrawals and its verification process is lengthy and quite tedious.
Launched in 2013, with headquarters in London, UK, Luno has expanded to several countries and has emerged in the past few years as one of the biggest crypto platforms in Africa with a noteworthy market share in Nigeria.
Multiple trading pairs
Luno allows Nigerians to buy cryptocurrencies directly from naira-domiciled cards and domestic transfers. Additionally, the exchange has Naira trading pairs where users can convert their crypto to fiat and withdraw to their accounts. Apart from trading fiat and the USDC stablecoin, Luno supports popular coins like Bitcoin, Ethereum, Litecoin, Ripple and Bitcoin Cash.
Luno has been able to achieve relative success thanks to its mobile app that can be downloaded on Android and iOS. The app is user-friendly, intuitive and straightforward, allowing users to get an enhanced trading experience. The app is equipped with trading tools, including a price analytical dashboard, charts, indicators etc.
Regulation and gas fee issue
Luna’s service has been affected by the CBN ban that was imposed in February 2021 and this has halted its activities. Additionally, Luno has incredibly high transaction fees, which is a major disadvantage for users. It also has limited trading options for users, which makes it unsuitable for day traders.
We are sure that this is not a complete list of all the possible alternatives you can explore. But, these are very intuitive and will provide a good experience for a start. Then, you can take on other options as your experience level grows.
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