Federal High Court of Nigeria approves rollout of CBDC called eNaira
The Nigerian Federal High Court joins the growing list of regulators across the globe to approve the rollout of a central bank digital currency (CBDC) as a legal tender.
The CBDC of Nigeria is called eNaira, which will be issued by the central bank and supported by a homegrown eNaira wallet.
According to a report by Voice of Nigeria, the country’s CBDC issuance approval was revealed in a federal court hearing held on Oct. 2 led by Justice Taiwo Abayomi Taiwo.
The official eNaira website says that the digital version of the Nigerian naira will be made available universally, stating “anybody can hold it.”
The launch of the Nigerian CBDC was dedicated to mark the country’s 61st Independence Day. While eNaira will continue to circulate alongside its fiat counterpart, it is marketed as a faster, cheaper, and more secure option for monetary transactions.
It is important to note that the move to introduce digital naira also coincides with the falling value of the nation’s fiat currency, currently standing at its lowest point since 2003.
Supporting data from Chainalysis suggests that peer-to-peer platforms, banking restrictions, and fear of inflation have contributed to the growing market in Africa. As a result, the region continues to attract investments, with the latest leading to a $15 million Series A funding for Yellow Card crypto exchange.
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