Business News
Bitcoin is giving better returns than the Nigerian stock market
Bitcoin has attracted hedge and quant traders who make money on short-term price swings.
With the COVID-19 pandemic still raging on and upsetting markets, Bitcoin has outperformed the Nigerian stock market and even most global equities; only performing worse than gold. Investors attribute Bitcoin’s performance to bets/bids that have been made to hedge against inflation.
In 2020, Bitcoin has only posted a loss of around 5%, compared to respective drops of 17.5% and 18% for the Nigerian and MSCI All-Country World Index. With a market capitalization of over $126 billion as at April 22, 2020, it is much bigger and more liquid than the Nigerian stock market (market capitalization less than $31 billion dollars —N11.793 trillion est. April 21, 2020).
Like stocks and other riskier assets, Bitcoin climbed up in the wake of massive stimulus packages launched by fiscal authorities and central banks around the world last month to ease the economic damage caused by the COVID-19 outbreak.
In addition, with a supply pegged at 21 million, its rarity gives it an intrinsic value and protects it from global central banks’ moves or policies that encourage inflation.
READ MORE: Bitcoin price under pressure, stays under $7000
However, in 2020, bitcoin performed poorly against popular safe havens like gold. Just last month alone, Bitcoin slumped more than 35%, showing that gold has proven far more resilient than Bitcoin
A pile of bitcoins
Bitcoin which is notorious for high price swings, has found its use as a means of digital payment and scared off institutional investors such as pension funds. It has however attracted hedge and quant traders, who make money on short-term price swings.
READ ALSO: Nigeria’s Inflation rate jumps to 12.26% in March as recession looms
As its volatility soared, major cryptocurrency exchanges saw huge movements in volume last month. Many speculators sold off the cryptocurrency (like other assets) to raise money.
“I’m long gold, I’m long bitcoin – we are seeing a monetization of debt like we have never seen in our lifetimes,” Novogratz said in a Monday interview with Bloomberg TV. “To me in the long run, that has to make hard assets look better.”
Coronavirus
COVID-19: Jason Njoku and wife test positive
iROKOtv CEO and wife have contracted the novel coronavirus.
Business
UK High Commission reopens visa application centres in Nigeria
Days after it was shut down, United Kingdom High Commission in Nigeria has announced the reopening of its visa application centres.
The United Kingdom High Commission in Nigeria has announced the reopening of its visa application centres in the country.
This comes some days after the high commission had shut down its visa application centres in Victoria Island, Lagos and Abuja over the outbreak of violence arising from hijacked #EndSARS protests against police brutality and extra-judicial killings, which led to the loss of lives, vandalization, and looting of public and private assets across the country.
READ: Reps, NIDO, Ghana government respond to attack on Nigerian residential building
The disclosure was made by the High Commission in a statement through a tweet post on its official Twitter handle.
The High Commission, however, noted in its statement, titled, “Update on UK visa application centres in Nigeria” that its centres would not open on Thursday due to the public holiday in Nigeria, in honour of the Eid-El Malaud celebration.
The statement from the UK high commission, partly reads, “Our TLS contact visa application centres are now open in Nigeria. Following the recent closures, we are working hard to process all outstanding applications.’’
READ: NCC sets up committee to review licensing framework of Infrastructure Companies
“We thank you for your continued patience and understanding. Please note Thursday, October 29, is a public holiday in Nigeria and our Visa application centres will be closed.”
The reopening of the visa applications centres after they were shut about a week ago is due to the gradual return of peace and order to some of those trouble spots, following the intervention of security agents.
The UK High Commission had been very critical of the outbreak of violence in the country, especially the shooting of unarmed protesters at Lekki Tollgate by alleged military personnel, and asked the government to thoroughly investigate the incident and ensure justice is done.
READ: Buhari gives reason for silence on Lekki Tollgate shooting
In its statement, the High Commission said, “We remain concerned by acts of looting and violence in Nigeria and urge security services use restraint as the order is restored. Working with all stakeholders, judicial panels of inquiry must investigate all incidents, including Lekki and ensure accountability for crimes.”
What you should know
The Judicial Panel of Inquiry set up by the Lagos state government to handle all cases of police brutality in the state have also been mandated to conduct an inquiry into the shooting of unarmed protesters last week.
Amnesty International earlier said that 12 people were allegedly shot dead by the police and army at two locations during the hijacked protests.
Explore Data on the Nairametrics Research Website
Please see below 👇🏼 for an update on UK Visa Application Centres in Victoria Island, Abuja & Lagos.
➡️ For queries on individual applications, please visit: https://t.co/Z6U3959iB1 pic.twitter.com/kSlk5OBLtC
— UK in Nigeria🇬🇧 (@UKinNigeria) October 26, 2020
Economy & Politics
Nigeria’s Ngozi Okonjo-Iweala close to being announced as new DG of WTO
Ngozi Okonjo-Iweala is expected to be announced as the new DG of the World Trade Organisation.
Nigeria’s former Finance Minister, Dr. Ngozi Okonji-Iweala, is close to being appointed as the new Director-General of the World Trade Organisation (WTO).
READ: Okonjo-Iweala gets Organised private sector’s endorsement for WTO job
According to Reuters, a group of ambassadors also known as “troika” has proposed Ngozi Okonjo-Iweala to lead the WTO giving her a clear path to becoming the first woman to head the WTO since it started 25 years ago. The three ambassadors are thought to wield significant powers in determining what is a very “intricate and opaque” process.
READ: Buhari assures Okonjo-Iweala that the country will push until she emerges WTO DG
Most Nigerian Media houses have already announced NOI as the winner of the process even though this is yet to be made official by the WTO.
The winner for the role of DG of WTO is expected to be announced formally by the WTO later today.
Details later…
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Nigeria’s treasury bills rate falls to 0.5% per annum
COVID-19: Jason Njoku and wife test positive
UK High Commission reopens visa application centres in Nigeria
COVID-19 Update in Nigeria
Daily Parallel Market Exchange Rate – ₦460/$1
Buhari approves free business name registration for 250,000 SMEs
Federal Government declares Thursday October 29 public holiday, to mark Eidl-Mawlid
FG disburses MSMEs Survival Fund in Lagos, Kano, FCT and 9 other states
Olumide
April 22, 2020 at 11:05 pm
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