The exchange hopes to attract cryptocurrency-loving Nigerians to shares
To boost trade and attract new investors, Nigerian Exchange Ltd. plans to develop a blockchain-enabled exchange platform next year.
The decision comes after the Nigerian Securities and Exchange Commission issued legislation governing the trading of digital assets, as well as increased interest from businesses and regulators throughout the continent in using distributed ledger technology.
South Africa and Kenya await regulation to adopt technology
“The exchange wants to settle capital market transactions using blockchain technology.” “This is the technology that many young and promising Nigerians are utilizing, and we want to explore how we can leverage it to increase our market,” said Temi Popula, CEO of Nigeria Exchange Ltd.
Even though young Nigerians account for the majority of bitcoin transactions outside of the United States, they have largely neglected the local exchange. In the first quarter of this year, young Nigerians sold $185 million on the bitcoin platform, accounting for a quarter of all transactions on Paxful during that time.
According to Popul, however, the digitization of transactions would help attract young shoppers who are looking for a variety of products as well as rapid and easy access to the market.