Bitcoin and other cryptocurrencies have become the current economic trend around the world, and Nigerians are preparing to adopt them and incorporate them into the mainstream economy. The widespread popularity of cryptocurrencies in Nigeria has resulted in the formation of numerous trustworthy cryptocurrency exchanges in the country. Here, we’ll give you an overview of the best cryptocurrency exchanges in Nigeria.
What Is A Cryptocurrency Exchange?
A cryptocurrency exchange, like a stock market, allows investors to purchase and sell digital currencies such as Bitcoin, Ethereum, or Tether. These platforms operate through digital marketplaces such as mobile apps or through desktop functionalities comparable to e-brokerages. They also offer a variety of trading and investing instruments to their customers.
Crypto exchanges also offer cryptocurrency trading services such as margin or lending trading, as well as futures and options trading.
To supply their users with these numerous products, crypto exchanges charge a fee for your transactions, which might be depending on the volume of your transaction or on the sort of trade you conducted. Prior to crypto exchanges, investors could only obtain cryptocurrency through mining or organizing transactions in various online and offline communities. However, there are now hundreds of cryptocurrency exchanges operating globally, each offering a different digital currency with differing levels of security and pricing structure.
Unlike traditional stock and commodity markets, where fees have been cut in recent years, crypto trading is often more expensive.
The Top Best Cryptocurrency Exchanges in Nigeria
#1. Paxful
Paxful, a cryptocurrency exchange founded in 2015, aims to make buyers and sellers contact directly with one another in order to conduct Bitcoin transactions. It accepts over 350 payment methods and bases its financial services on AML requirements to protect Nigerian users from financial scams. Paxful currently has over 30,000 users from Nigeria and around the world.
#2. Luno
Since 2013, Luno has been a pioneer in the business. Luno has processed a massive transaction volume totaling $20 billion up to this point. With a market valuation of $3.7 million and 80 million members, Luno is one of the country’s best platforms. The Luno exchange’s highly dynamic mobile apps are especially useful for crypto trading on the go.
#3. Remitano
Remitano offers every trader a P2P platform via which Nigerians can perform decentralized Bitcoin investments. It accepts BTC, BCH, ETH, LTC, XRP, and USD as payment methods. Remitano’s Swap feature enables for the exchange of two distinct cryptocurrencies. Nigerian users can earn a 40% commission and a 10% bonus through the referral program.
#4. LocalBitcoins
LocalBitcoins is a prominent P2P exchange that enables for secure asset transactions. The forum also provides escrow services to retain assets until the trade is completed between the buyers and sellers. Every day, thousands of traders join LocalBitcoins to take advantage of the auto-trade capabilities. The forum uses a reputation system to screen users.
#5. Quidax
South Africa is a major market for Quidax, the biggest cryptocurrency exchange that Buchi Okoro founded. Quidax allows traders to earn cryptocurrency incentives by participating in various activities on the platform. To obtain free crypto prizes, one must stake QDX tokens in the Quidax Vault.
#6. Patricia
Patricia recently introduced Africa’s first Bitcoin debit card, with a daily transaction volume ranging from $5,000 to $30,000. The forum is an alternative payment solution that allows users to use bitcoins to pay bills, purchase gift cards, and purchase global airtime. Patricia offers customer service in Nigeria and throughout the world via live chat, email, Twitter, and Facebook.
#7. Kraken
Kraken, which was formed in 2011, provides a wide range of products to users globally, including futures, indices, liquidity, gift cards, and margin trade facilities. It is the world’s largest international Bitcoin exchange, backed by a number of investors including Hummingbird Ventures, Tribe Capital, Blockchain Capital, Digital Currency Group, and others.
#8. Paybis
Paybis, which has been in operation since 2014, enables simple cryptocurrency trading. It provides a simple conversion calculator to help estimate prices when converting cryptocurrency to fiat money. The forum is a well-known Nigeria crypto exchange due to its large withdrawal limits, instant buy and payout, excellent security policy, and a plethora of other intriguing features.
#9. Changelly
Changelly, headquartered in Prague and home to a million customers, facilitates the exchange of cryptocurrencies and fiat money. The forum has cheap fees and allows practically quick deposits and withdrawals, while Changelly is a cryptocurrency exchange with low fees.
#10. Uphold
Sign up with Uphold to trade cryptocurrencies, stocks, precious metals, and national currencies. On the Uphold platform, you may send cryptocurrencies instantly and trade FX profitably. Until today, the multi-asset platform has enabled more than $4 billion in transactions.
What Is the Purpose of Crypto Exchange?
Cryptocurrency exchanges are essential for trading, purchasing gift cards, swapping, and investing in digital currencies. The exchanges accept credit and debit cards as well as other payment methods in order to credit crypto assets to the owner’s crypto wallet.
It is critical to develop reputable and top crypto exchanges in Nigeria, as Nigerians are gradually beginning to convert crypto to fiat money for business operations. The Nigerian Naira, the country’s official currency, is losing value due to high rates of inflation, prompting more Nigerians to use cryptos for their daily financial operations.
How Can I Invest in Cryptocurrency in Nigeria?
To buy and sell Bitcoin and other cryptocurrencies, go to the official website of the finest crypto exchanges in Nigeria. Follow the steps below to trade and invest at the top cryptocurrency exchanges:
#1. Connect Bitcoin Wallet to Exchange
You can use the wallet that the best Bitcoin exchange platform provides. It is safer to use one’s own wallet to protect the privacy of the private key. A hardware wallet, such as the Ledger Nano S, a mobile app wallet, such as Trust Wallet, and a software wallet, such as Electrum, are all highly secure and ideal for storing cryptocurrencies and conducting secure transactions.
#2. Select a Crypto Trading Platform With Caution
In Nigeria, there are three types of crypto exchanges, as described below:
Crypto Trading Platforms
The trading platforms that have been launched in the country allow for the exchange of Bitcoin, Ethereum, and other altcoins. The traders deposit fiat currency and buy an equal amount of cryptos, which are credited to their top crypto wallets.
Brokers
To learn more about cryptocurrencies and buy crypto in exchange for fiat money, one can contact brokers. For the hassle-free exchange of cryptocurrencies, brokers typically have fiat currency on-ramps integrated with quick payment methods such as bank transfers and bank card payments. Nigeria Luno is the most popular broker for Nigerians who accept Naira payments.
Peer-to-Peer Exchange Forums
P2P exchange platforms launched in Africa enable buyers and sellers to negotiate directly in order to conduct crypto asset trading.
What Do I Need to Buy Bitcoin in Nigeria?
You can invest in Bitcoins in Nigeria if you have a phone or an internet connection. However, in order to make your experience as quick and seamless as possible, these are the prerequisites.
A cryptocurrency exchange account.
Choose a cryptocurrency exchange and create an account ahead of time. Then you’re ready to invest in Bitcoin when the price reaches a level that you’re comfortable with.
A method of payment
Many Nigerians purchase Bitcoin using a bank account or a credit card. You can also purchase cryptocurrency using PayPal or another e-wallet. Check that you have the information for the account you want to use, whether it’s your credit card, PayPal, or another service.
Make a copy of your photo ID
When purchasing Bitcoin in Nigeria, you must usually provide identification. Nigerian cryptocurrency brokers require ID verification in order to comply with KYC (Know Your Customer) regulations designed to prevent fraud.
Personal cryptocurrency wallet
After purchasing Bitcoin, you can either leave it on the exchange or transfer it to a personal crypto wallet for added security. Set up a wallet in advance on a popular wallet like MetaMask to save time.
It is possible to buy cryptocurrency in Nigeria without providing ID by using a P2P exchange, but these are less secure and more difficult to use, so we recommend that only experienced crypto investors take this route. Most people, on most exchanges, need to provide some form of ID.
How to Choose the Best Crypto Exchange In Nigeria
Choosing where to buy Bitcoin in Nigeria is important, and the right Nigerian crypto platform can save you a lot of time, stress, and money. Things like the exchange fees, storage facilities, and range of altcoins available should all impact your choice.
Here’s some advice on how to find the best way to buy crypto in Nigeria.
#1. How much does the exchange charge to trade?
There can be a big difference in the trading fees charged by each Nigeria based crypto exchange. While all exchanges generally offer low cost cryptocurrency trading, what they charge may vary widely. Taking the time to compare them can save you money.
Trading fees are usually charged as a percentage of the trade. The best crypto exchange in Nigeria with low fees will charge 1% or less of the trade amount. Some services charge a lot higher.
You may also have to pay deposit and withdrawal fees. You rarely have to pay for depositing fiat currency via a bank account or credit or debit card, but you may be charged a flat withdrawal fee. There’s often a significant charge for withdrawals made in digital currency.
#2. How does the exchange store customer funds?
Crypto exchanges are available widely, but the important question is whether they are regulated in Nigeria. It’s the regulation that provides protection in the event that something happens to the exchange and you lose the money you hold on there.
You want to pick a reputable exchange that stores its customers’ funds safely. The best Bitcoin exchanges in Nigeria should store your funds in segregated accounts and, ideally, in cold storage (offline). Choosing a Nigeria crypto exchange that has been audited by a reputable accountancy firm can give you extra peace of mind.
#3. Is the platform easy to use?
A good user experience means more than being able to navigate around the website with ease. Think about how you plan to trade: are you going to trade from your phone? How are you going to manage your crypto portfolio? Are you after particular analysis tools, charts, or software integrations?
Armed with that information you can start to narrow down your shortlist by considering if the exchange suits you. For instance, if you plan to do a lot of trading on the go, then you should focus on the platform that offers the best crypto app in Nigeria.
#4. What is the account verification process?
When you create an account, you’ll often be asked to supply some personal details and a form of ID to verify your identity. It’s normally a prerequisite for any crypto exchange to be regulated in Nigeria.
It’s a good idea to check what the verification process is before you sign up. That way, you can have the relevant documents to hand to create a seamless sign up process. Or, if you want to avoid supplying personal details, you can filter out the crypto exchanges in Nigeria that demand verification in order to use them.
#5. How many cryptocurrencies are available?
You can buy Bitcoin in Nigeria through any cryptocurrency exchange, but beyond that the number of available coins can vary. If you want to trade altcoins, look for a Nigeria crypto exchange that offers a large number of coins and ‘crosses’, where you can swap from one crypto to another.
#6. Which currencies can you deposit?
For most people, a crypto exchange in Nigeria is a means to transfer local fiat currencies into cryptocurrency. However, lots of crypto exchanges in Nigeria only accept US dollar deposits, which can be an issue if that is not your primary currency.
If you don’t have access to US Dollars, then it might be best to choose a large exchange like Binance or a local exchange that’s specifically designed for crypto traders in Nigeria.
#7. Which payment methods are accepted?
Decide how you want to pay for your crypto. If you want to fund an account with the best Nigeria crypto exchange using bank transfers or debit card payments, then most Nigerian crypto exchanges accept deposits from bank accounts and you don’t need to worry.
A cryptocurrency exchange in Nigeria is less likely to accept alternative payment methods, like PayPal and other e-wallet services. The larger ones, such as Binance, do accept a wide variety of payment methods, but it’s still a good idea to check whether you can pay how you want before signing up.
#8. Does it offer additional features, like staking or lending?
Think about what you might want to use the exchange for and use that to influence your decision. Do you want to store or stake your coins? Lend them to earn interest, or borrow crypto yourself?
You can buy crypto in Nigeria through any Nigeria-based crypto exchange that’s regulated, but not all platforms offer all these services. You may be happy to juggle multiple logins and use different exchanges, but it’s normally easier to use one service, at least to start with.
Which Bank is Good for Cryptocurrency in Nigeria?
First Bank of Nigeria customers have the capability to buy Bitcoin and other cryptocurrencies using Nigerian Naira through regulated exchange platforms, with Binance being a popular option due to its efficient and fee-free deposit feature.
Can I trade Cryptocurrency in Nigeria?
We all know the CBN banned the trading of cryptocurrency in Nigeria due to several reasons which include its involvement in financing terrorism in the country. Even though crypto is not recognized by the CBN, trading it doesn’t make it illegal. You may get gifted in crypto and need to cash it out in Naira.
Can I buy crypto with Kuda?
In compliance with the applicable laws, Kuda does not deal in crypto currencies and does not facilitate payments for crypto currency transactions and other related transactions.
Who is the richest crypto trader in Nigeria?
Ifeanyi Ezenwaogene is the richest Nigerian crypto trader as of today with his net worth estimated around $12 million.
Can I start Bitcoin with 1000 Naira?
The short answer is yes. You can buy Bitcoin and start investing in the digital currency for as low as NGN1, 000.
Which bank card works on Binance?
Binance supports Visa card and Mastercard payments
Conclusion
Cryptocurrency transactions take place decentralized and, as such, need to pay only a nominal transaction fee for withdrawing in Bitcoin and altcoins. Today there are hundreds of popular and best crypto exchanges in Nigeria. With more than 170 million smartphone users across Nigeria, crypto is now a popular mode of economic exchange in the country.
According to this article, the top crypto exchanges in Nigeria include Luno, Paxful, Remitano, LocalBitcoins, and more. These crypto exchanges Nigeria operate legally and welcome users from all over the world.
- What makes Bitcoin investment secure?
- Top 10+ Most Successful Businesses to Start in Nigeria 2023
- Why Banks Are Now Into Crypto Exchange
- Functions Of The Stock Exchange: A Detailed Guide
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