Nigeria has become the latest country to ban cryptocurrency trading, as announced by the Central Bank of Nigeria on Friday.
The CBN instructed banks and financial institutions to block bank accounts that trade cryptocurrency, stressing that failure to comply with the directive will result in severe sanctions from the regulator.
In the meantime, here are five things you didn’t know about cryptocurrency:
1 . Cryptocurrency is digital money that can be used to buy goods and services. It exists online, which means it doesn’t appear in physical coins or bills.
2 . Bitcoin is the first cryptocurrency and was created in January 2009 by a mysterious person or group named Satoshi Nakamoto. One Bitcoin is selling for N15 million at the time of writing.
3 . Once you lose your address to your crypto wallet, you automatically lose all the money in your wallet. Simplilearn estimates that 60 per cent of cryptos are ghosts because their owners lost the address.
4 . Cryptocurrency has been banned in Nigeria, China, Bolivia, Nepal, Bangladesh, Ecuador, Morocco, and Iran.
5 . Cryptocurrency value is extremely volatile, according to Express Computer. Just like a normal stock market, there are a lot of external factors that have a direct impact on the value of cryptocurrency.
They are super volatile and really depend on your sense of trading. The value can fluctuate dramatically, which is sometimes in your favor and sometimes terribly against you. Its digital-only presence and risk factor is why people choose to steer away from it.