The enthusiasm for cryptocurrency has spread worldwide, encompassing various regions, including Africa. Over the years, the continent has consistently shown a strong bullish sentiment toward the industry. However, a particular country stands out as the primary source of interest. A recent report has revealed that in 2023, Nigeria has emerged as the African country with the highest level of cryptocurrency interest. While South Africa also exhibited interest, it significantly lagged behind Nigeria.
Based on the latest report from CoinGecko, Nigeria accounted for 66.8% of the digital currency industry in Africa. In contrast, South Africa secured the second position with a market share of 8.36%. This indicates that Nigeria’s level of interest in cryptocurrency is nearly eight times greater than that of South Africa.
However, the top currencies in the market were relatively unfamiliar to many. Peepo [PEEPO], Liquity [LQTY], and Conflux [CFX] emerged as the three most preferred assets in the Nigerian market. Liquity and Conflux have gained recognition as notable lending and borrowing protocols. Meanwhile, in South Africa, Truebit Protocol [TRU] and Dodo [DODO], the native token of a decentralized exchange, gained popularity due to their computational technology. It is noteworthy that Shiba Inu held the position of the second most popular digital asset in the country.
African nations have demonstrated a significant fondness for meme coins, with Shiba Inu leading the way in adoption across the continent. Alongside South Africa, Shiba Inu has also garnered popularity as one of the favored cryptocurrency assets in the Ivory Coast. Other meme coins, including Dogecoin [DOGE], Baby DogeCoin [BABYDOGE], and Pepe Coin [PEPE], have also found favor among crypto enthusiasts in Africa.
Decoding Nigeria’s Crypto Supremacy: Why Other African Nations Trail Behind
As mentioned earlier, Nigeria has maintained its position at the top of the charts. Previously, both Nigeria and Kenya were known as the most curious countries globally when it came to cryptocurrencies. However, Kenya has now slipped to the 11th spot, with a modest interest of 0.59% originating from the region. As depicted in the provided image, the remaining 48 countries in Africa demonstrate relatively low levels of cryptocurrency interest compared to other regions on the continent. Each of these countries accounted for less than a 2.0% share year-to-date [YTD].
The difference in cryptocurrency interest across Africa can be attributed to significant issues, particularly in Nigeria. The country has faced substantial challenges such as cash shortages, which have disrupted traditional financial systems, along with instances of violent protests throughout the region. In the midst of this turmoil, the Nigerian government has promoted the use of e-naira as a digital currency for its citizens. However, instead of embracing the government-backed digital currency, the people of Nigeria have shown a preference for exploring cryptocurrencies.
It’s worth noting that only about 5.75% of Nigeria’s overall population currently possesses cryptocurrency, whereas in South Africa, the second-ranked country, approximately 10% of its population is engaged in crypto ownership.