This article is for anyone who is interested in buying bitcoin for the very first time. It is a practical guide and from someone who has bought bitcoin before.
Bitcoin is currently one of the most talked about asset classes in the world today. It is also the asset class that has posted the best returns having gained over a 1000% this year alone.
This has made the interest to invest in bitcoin surge as the fear of missing out (FOMO) syndrome catches on newer investors. Investing in bitcoin is not has complicated as most think and is even faster than opening a bank accounts. In fact, it is often faster than opening a social media account.
There are several cryptocurrency exchanges in the country where you can access to open a bitcoin account. We will give you a run down of the popular ones and how you can buy bitcoin through them.
Remember, you can either buy bitcoin using a debit card or after a bank transfer has been confirmed.
Luno is the easiest platform to use as it has a simple interface as well as mobile app. All you need is an email address, phone number and an a debit card with the same name as your email address. Bitcoin can be bought for as little as N300. Luno also has a mobile app, and being an exchange cuts off any third parties. Purchases are carried out directly using a debit card.
How to buy with Luno
- Sign up with your email address and password.
- You will be required to provide your atm card details which must tally with your name.
- Fund your account (deposits are tied to an ATM card which must be same with your bank account name).
- You can then buy ethereum or bitcoin.
- You will be required to input your 4 digit PIN before any transaction can take place.
Remitano is a peer to peer bitcoin exchange which means you are dealing directly with the owner of the crypto currency. Transactions involving this exchange are significantly larger compared to luno and may not be immediate.
How to buy bitcoin with remitano
- Sign up using an email address and user name.
- Login to remitano.com
- Type the amount you want to buy.
- Select from the list of buyers.
- Make a payment.
Tanjalo is a fairly new exchange, and transactions are done directly with the exchange. Purchases are done using a debit card, and they occour significantly faster compared to other exchanges. The minimum amount that can be bought with Tanjalo is currently N5000.
How to buy using Tanjalo
- Sign up to the website using an email address and password.
- Login after you have signed up.
- Type the amount you want to buy in Naira. The dollar and bitcoin equivalent will show up.
- Input your bitcoin wallet address.
- Then input your ATM card details.
Purchases using the Nairaex platform are done directly with the exchange. In order to buy bitcoin directly a user’s account has to be verified by submitting KYC documents such as a government issued ID and a utility bill. Unverified accounts can purchase bitcoin by paying with a bank teller. A minimum of N2000 is charged for transactions worth less than N15000.
How to buy bitcoin using Nairaex
- Sign up with an email address and password.
- Complete the verification process by submitting the necessary KYC documents.
- Choose the amount of bitcoin you want to buy.
- Make your payment.
Naira4dollar is one of the oldest bitcoin trading platforms in the country, but does not have a mobile app. Transactions are also directly with the exchange.
How to buy bitcoin on Naira4dollar
- Login to your account.
- Click Buy, fill the form and submit.
- You will get payment details including Naira4dollar’s account numbers.
- An invoice with full details and our account numbers will be sent to your email also.
- Make the payment in the format given to you, then return to the website, login and click ‘Send Alert’ where you have the order details.
- Your account will be funded when your payment is confirmed.
Bitkoin Afrika is a peer to peer exchange meaning transactions are directly between users, who have however been verified by the website. The bitcoin is also held by the exchange which acts as a middle agent.
How to buy bitcoin using bitkoin Africa
- Sign in using user email and user name.
- Click on buy.
- Choose your preferred seller.
- Review and confirm
- Click Buy Instantly.
- Choose your method of payment: Paying with your ATM card or Transferring from your bank account.
Nigerians’ love for cryptocurrencies on the rise, as it offers cheaper ways to transfer funds
Nigerians do have a high passion for digital currencies and are among the greatest users of cryptocurrencies in the world.
In 2019 Google Trends, Lagos, Nigeria was the number one city based on online search volumes for Bitcoin worldwide. While recently, in May 2020, Arcade Research ranked Nigeria fifth globally with its 11% of connected Nigerians owning or using cryptocurrencies.
In addition, data obtained from Coinmarketcap recently revealed the largest cryptocurrency users around the world, with Nigeria surging by 46% among its youth users. As a country, it gains stood Nigeria Up 211%.
These trends have shown that Nigerians do have a high passion for digital currencies and are among the greatest users of cryptocurrencies in the world. This is based on a major fact that Nigerians are using cryptos to avoid expensive and heavily bureaucratic money transfer systems currently available. Many Nigerians rely on remittances for their daily activities and any way of making the process effective cheaper would be of great benefit to them, this is where Bitcoin comes in
What you need to know: Cryptocurrency is basically, a digital currency based on an innovative technology called the blockchain. Its users range from small businesses to process payments, financial tech-based startups, and retail consumers that use it to send money across the border and as an investment asset.
Consequently, Asia’s arguably most popular cryptocurrency exchange listed Nigeria’s Naira to be first African currency supported on its Binance P2P platform, The Binance CEO said:
“We no longer need to bank the unbanked. We can empower them with cryptocurrency financial services directly. Nigeria is a vibrant innovation hub with a great passion for cryptocurrencies. We strive to provide the easiest cryptocurrency access and best trading service for the African community, and P2P trading is a more flexible approach, giving users the freedom to choose their payment methods and counterparty in a trade.”
However Nigeria’s central bank issued a statement about three years ago banning the use of bitcoin for transaction purposes, this statement was sent to all banks in Nigeria warning them against facilitating the trading of cryptocurrencies but that seems not to pause Nigerians growing love for cryptocurrencies.
OmiseGO, a small digital coin up, 150% in less than 30 days, as Bitcoin fails to break $10,000
OmiseGO traded at $0.5 on April 1st and is presently trading at %1.26, with a market capitalization of about $276 million.
OmiseGO, an ethereum token that energizes smart contract platforms and trades under a sticker known as OMG, surged after popular American based cryptocurrency exchange, Coinbase, revealed that it would list the token on its exchange.
OmiseGO, which is not even in the top 30 most valuable cryptos in the world, has gained over 150% since April 1, according to data obtained from Coinmarketcap.
It was trading at $0.5 on April 1st and is presently trading at %1.26, with a market capitalization of about $276 million.
What you need to know: OMG coin was designed as a white-label eWallet. It was designed on the Ethereum blockchain by a Thailand based financial services company called Omise. Its full name is OmiseGo.
OmiseGo helps in easing the transfer of coins from one blockchain to another without using a crypto exchange.
Meanwhile, the broader bitcoin market is closely watching for Bitcoin to break the $10,000 price level, after Bitcoin went through a supply squeeze a few weeks ago. Yet, Bitcoin’s price has remained around the $9200+ mark in recent days.
However, Teju Adeyinka a product manager at Nigeria’s fast-growing crypto exchange, Buycoins, explained to Nairametrics why cryptos such as Bitcoin would continue to be a leading force in future. She said:
“Bitcoin is the next important thing because it ushers in a new level of financial inclusion for everyone. It is a financial system that is truly democratized and in the interest of the people. It enables people to have total control over their money and decide what it does or where it goes.
“It also opens up borderless trading and enables people who have been previously shut out economically to partake in financial opportunities beyond their geographical boundaries.
“For instance, with our new product, Sendcash, people are able to easily receive payments to Nigeria from anywhere in the world.”
Cardano to give crypto a cash like experience without internet access
Cardano is working on a microchip that will make users have cash like experience the chip will be vitals in regions like Africa.
Cardano is working on a crypto microchip that would ease crypto transitions without access to internet, enabling fast experience for hundreds of millions of users around the world.
Cardano’s creator, Charles Hoskinson, reveals the new details and that the chip is built by IOHK with the University of Wyoming.
In addition the chip will be vitals in regions like Africa. There, 98% of farmers don’t have a smartphone or are internet-enabled to use cryptocurrencies. Cardano’s creator further outlines:
“So when you look at that, you say, well, OK, 98 percent are mostly offline and not banked or digital. So if I was building a money system for them, it would probably be a bad idea to say, ‘oh, you have to use an always online, purely digital currency.
’” You need some other thing. And so how do I replicate the cash money experience but still have a blockchain backend? Well, what you do is you create a hierarchy where those two percent basically become like micro banks and then they can manage the issuance of these tokens to people and then their local phones or infrastructure can verify”.
What you should know; Cardano is a type of blockchain that permits people to receiving and sending funds. ADA coin is the name is the cryptocurrency. It uses the Cardano blockchain. It also allows people to design smart contracts just like Ethereum.
As discussed earlier, the chip can store private keys and the system proposed by Cardano’s founder will allow them to be transferred from one chip to another.
Furthermore, with the proof of erasure it can be guaranteed that the keys only exist on one chip. That way, the use of the internet is not necessary for transfers:
“So if you can do that, you can basically just tap phones locally with no Internet connection to each other and move value. Like you would a twenty-dollar bill from one actor to another actor, and you’ve replicated the cash experience.
“Now, what’s nice about the solution is it’s infinitely scalable because these transactions actually don’t occur on the blockchain. So from the blockchain perspective, nothing has happened.”
Cardano’s chip can keep private keys and the system proposed by Cardano’s founder will allow them to be transferred from one chip to the other.