The study highlights South Africa's emergence as a leader in accepting crypto payments within Africa, despite Nigeria's historical prominence in the crypto sphere.
Crypto Payments in South Africa and Nigeria
South Africa has emerged as one of the top 10 countries accepting cryptocurrency payments, according to a study by NFTEvening and Storible. The country's increase in crypto-accepting locations to 584 highlighted a growing trend, while Nigeria saw a decline in business acceptance despite being a global leader in P2P crypto engagement.
Differences in Business Approaches to Cryptocurrency
South Africa adopted a progressive regulatory stance, encouraging businesses to integrate crypto payments. In contrast, Nigeria, despite high P2P adoption for hedging naira depreciation and for remittances, did not experience the same business uptake, largely due to low demand for such payments and competition from mobile money solutions.
Impact of Regulations and Infrastructure
Nigeria's regulatory decisions imposed barriers for businesses. The central bank's cryptographic prohibitions limited business potential in this area. Conversely, South Africa clarified and stabilized its crypto classification, facilitating seamless business integration.
The successful adoption of crypto payments in South Africa indicates potential for Nigeria to improve. Regulatory clarity and robust infrastructure could aid Nigeria in reclaiming its leadership in the digital economy.
