Crypto Education: Bitcoin, Stablecoins, and Safety in Nigeria

Cryptocurrency is digital money. But not all crypto is the same.

Bitcoin (BTC): The "Digital Gold." Its price goes up and down (volatile). You buy this if you want to invest for the long term.
USDT / USDC (Stablecoins): These are pegged to the US Dollar. 1 USDT is always roughly equal to $1. Nigerians use this to hedge against Naira inflation or to send money abroad easily.

Nigeria is one of the world's largest crypto markets.

The Rules:

• CBN: While the strict ban on banks servicing crypto exchanges has eased, direct bank transfers to exchanges are still restricted.
• SEC: The Securities and Exchange Commission is now issuing licenses to exchanges (VASPs) to make the space safer.
• P2P Restrictions: Government crackdown on P2P (Peer-to-Peer) trading on platforms like Binance was aimed at stabilizing the Naira.

Since you cannot simply transfer Naira to an exchange, most Nigerians use P2P (Peer-to-Peer).

How it works:

1. You go to a P2P platform (e.g., Bybit, KuCoin, Noones).
2. You find a seller who wants to sell USDT.
3. You transfer Naira to their bank account.
4. The platform "escrows" (holds) the crypto until the seller confirms receipt.
5. The crypto is released to your wallet.

Safety Tip: NEVER include crypto-related words (Bitcoin, USDT, Crypto) in the bank transfer narration. It can get your account flagged!

"Not your keys, not your coins." If you leave your money on an exchange, you don't truly own it.

• Hot Wallets (Trust Wallet, MetaMask): Apps on your phone. You control the "seed phrase" (12 words). Good for daily use.
• Cold Wallets (Ledger, Trezor): Physical USB devices. The safest way to store large amounts.

Warning: If you lose your 12-word seed phrase, your money is gone FOREVER. There is no "Forgot Password" button.

Red Flags:

• "Doubling" Schemes: "Send 1 BTC, get 2 BTC back." This is ALWAYS a scam.
• Fake Airdrops: Sites asking you to connect your wallet to claim free tokens. They will drain your wallet.
• WhatsApp Groups: "Investment Managers" who promise 50% weekly returns.

The e-Naira is the CBN's digital currency (CBDC). It is different from crypto because it is centralized and controlled by the government. As regulation improves, we may see more integration between traditional banks and crypto exchanges in Nigeria.