Nigeria has solidified its position as a global leader in cryptocurrency adoption, securing the second spot in Chainalysis’ 2024 Crypto Adoption Index—the only African country in the top 20. This achievement highlights Nigeria’s thriving decentralized finance (DeFi) ecosystem and retail crypto engagement.
Key Metrics Driving Nigeria’s Ranking
- DeFi Value Received: 2nd globally
- Retail Centralized Service Value Received: 2nd globally
- Year-over-Year Growth: Significant increases in Sub-Saharan Africa’s DeFi activity
👉 Explore how Nigeria’s crypto market compares globally
Regional Trends
While Nigeria remains a mainstay in the index, other African nations like Morocco (featured in 2023) dropped off this year. Central & Southern Asia and Oceania (CSAO) dominated the 2024 rankings, with seven countries in the top 20.
Why Crypto Adoption Is Surging in Nigeria
- Economic Factors: Currency volatility and inflation drive demand for crypto as an alternative store of value.
- DeFi Accessibility: Platforms offering low-fee transactions attract retail users.
- Stablecoin Utility: Facilitates remittances and cross-border trade.
Chainalysis notes: “Stablecoins support real-world use cases in lower-middle income countries, particularly in Sub-Saharan Africa.”
Global Insights
- Bitcoin ETFs boosted institutional activity in high-income regions (e.g., North America).
- Stablecoins grew fastest among retail transfers in emerging markets.
FAQs
Q: How does Nigeria’s crypto adoption compare to India’s?
A: Nigeria trails only India in overall adoption but leads in DeFi-specific metrics.
Q: What caused Morocco to drop from the top 20?
A: Chainalysis attributes this to shifting regional adoption trends and increased competition from CSAO countries.
Q: Are stablecoins replacing local currencies in Nigeria?
A: While not replacing fiat, stablecoins are widely used for remittances and hedging against currency devaluation.
👉 Learn more about DeFi opportunities in emerging markets
Methodology: Chainalysis’ index evaluates on-chain value, retail activity, and DeFi usage. Read the full report here.