Nigeria Bans Bitcoin, Bitcoin Wins
Summary
The Central Bank of Nigeria is Actively Banning Crypto
Bitcoin is Resilient Against Government Bans
Bullish Signal for Bitcoin as Other Nations Will Try to Ban it
Background
Bitcoiners,
On February 7th, 2021, the Central Bank of Nigeria (CBN), put out a statement ordering all Nigerian banks to close any accounts transacting with cryptocurrencies, including Bitcoin.
The Nigerian banks listened to the CBN and began closing large amounts of individual bank accounts.
On February 9th, 2021, the people of Nigeria fought back. They began transacting with one another through Peer to Peer (P2P) exchanges, which cuts out the central banks. The chart below shows the trading volume on Peer to Peer (P2P) exchanges from the date of the announcement to two days later.
You can see how the P2P trading volume nearly doubled when the Central Bank of Nigeria tried to ban all cryptocurrencies.
As of March 4th, 2021, Nigeria is still seeing one of the largest Bitcoin trading volumes in the world. The people of Nigeria are paying more than a 50% premium on the price of Bitcoin today.
Quick Story
I recently started following the Founder of Paxful, one of the world’s largest Peer to Peer (P2P) exchanges. The Founder of Paxful, Ray Youssef, is passionate about bringing Bitcoin technology to undeveloped countries. Ray recently tweeted out how he is traveling to Nigeria to help the people fight bank against the central banks.
I was inspired by his message. So I replied with the Tweet below:
You see that 1 Like? That one like is from Ray Youssef. I am planning a trip to Sub-Saharan Africa in the near future to help out in any way I can. Details to follow.
Why is this Important?
It is evident that the people of Nigeria are fighting back from their central bank oppressor. The citizens of Nigeria no longer want to be controlled by big banks. Trading Bitcoin and other cryptocurrencies peer to peer (P2P) is how the people of Nigeria made it clear they are fighting back.
The events unfolding in Nigeria are important because it shows the resiliency of Bitcoin.
One of the top questions I receive from Bitcoin skeptics is, “What happens if a nation decides to ban Bitcoin?”
The data in Nigeria proves Bitcoin wins against politicians and banks trying to ban Bitcoin. Governments think they can ban crypto, but that is the whole reason it was created. Fight back against your government and buy Bitcoin!
Happy Wednesday,
-Pod
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Eric Podwojski
Founder, Bitcoin EDU
Twitter: @epodrulz