As Nigerians protest the inability to withdraw cash, it should be clear that the country needs an alternative to Bitcoin.
This is an opinion editorial by Ray Youssef, founder and CEO of Paxful and founder of the Built With Bitcoin foundation.
The cash shortage in Nigeria is reaching a boiling point as 54% of your currency is out of circulation. Earlier this month, I wrote about the deadline to deliver the old naira (₦) notes, the scarcity of the new redesign, and how much people have had to do to get their hands on the new currency.
But a lot has changed since then
The lines have turned into protests and the people are on the edge. This chaos comes from confusion. People don’t understand who to turn to when they hear different stories from the Nigerian federal government, the supreme court, the Central Bank of Nigeria (CBN), some state governments and banks.
Last week, the Supreme Court Announced that the old ₦200, ₦500, ₦1,000 notes were valid until February 22, when the court will choose the case for a full hearing. The next day, Nigerian President Muhammadu Buhari tidy the CBN will allow the use of old ₦200 notes until April 10. According to the president, this puts the old ₦1000 and ₦500 notes out of circulation. Some state governors are siding with the supreme court over the federal government and the CBN. As examples, the governors in lakes, Kaduna and ogun they have openly encouraged Nigerians to continue using the old ₦200, ₦500 and ₦1,000 notes.
In addition to this confusion, the CBN has run out of paper to print the newly redesigned notes and some believe that banks have been stockpiling new notes, only giving access to the wealthy and people with connections.
This has caused chaos
The main roads in Ibadan, Oyo State, were blocked by bonfires and protests for the delay of the new banknotes. In Warri, Delta state, people have taken to the streets, ATMs on fire as a last resort. In the Ojota de Lagos area, a fight broke out between commuters and car park workers about collecting old naira notes. I can feel the desperation and restlessness in him: this is what I felt when I was marching in Tahrir Square against corruption in the 2011 Egyptian revolution.
This money is not play money. Nigerians need naira to buy food at the market and use it as their fare to go to work. His whole life has been interrupted. And all this comes less than a week after leaving the country. general election 2023. I pray that the election can still take place this Saturday and that people can vote safely.
my hope for the future
The supposed ease of centralized currency falls apart when you see what is happening in Nigeria. It’s a terrible situation and a sad but real use case for Bitcoin.
My plea is to draw more attention to what is happening in Nigeria. I love this Bitcoin community and I hope this opens more eyes to why countries like Nigeria desperately need another alternative, not because they need another investment asset, but because their future depends on their success. I hope we can all support the people of Nigeria in their fight for change and prosperity.
This is a guest post by Ray Youssef. Opinions expressed are entirely their own and do not necessarily reflect those of BTC Inc or Bitcoin Magazine.
