Due to Nigeria’s naira falling and foreign exchange rate is increasing, Central Bank of Nigeria want to leverage or stop the fall of the local currency. Central Bank of Nigeria decided to launch a digital currency to stop or reduce the fall of naira.
Actually, the Central Bank of Nigeria has not stated any way the digital currency will affect the physical one.
Still on the verge to launch the digital currency, Central Bank of Nigeria first launched the website of the digital currency and this gives us assurance that it’s been working on.
The Nigeria’s digital currency is to be launched on October 1st, which is also Nigeria’s independence day.
1. Is the e-Naira a cryptocurrency?
This is one of the most asked questions about the coming digital currency in Nigeria?
The e-Naira is NOT a cryptocurrency, it’s just a digital currency of the paper one. It’s like a digital version of the physical paper one.
This is more like a stable coin,so nothing like investing in e-Naira like you do in Bitcoin and get profits. Investing in e-Naira still give you your same money back without profits or losses, just like saving money in the bank.
2. What’s the value of an e-Naira digital currency?
The e-Naira value remains the same with the Naira, just like how some stable coins are pegged to the dollar.
One e-Naira is equal to ₦1, so nothing like investing for getting profits. You’re digital currency balance won’t increase in value like cryptocurrency do, because e-Naira is a stable digital currency.
3. Is e-Naira Safe?
The digital currency called e-Naira, according to Central Bank of Nigeria it is secured cryptographic techniques in case of counterfeiting, cloning, and other forms of attack.
4. Will e-Naira Replace Naira?
The idea behind e-Naira is to make transactions easier for everyone. According to Central Bank of Nigeria, the e-Naira will be less costly, more efficient, safe, and trusted means of payment.
It won’t replace Naira, but it will have more options than the paper Naira.