CBN says Nigeria will have a digital currency before the end of the year

The Central Bank of Nigeria (CBN) official said that Nigeria is likely to have its own central bank digital currency (CBDC) by the end of the year. Rakiya Mohammed, director of information technology at CBN, also revealed after the banking committee meeting that this "digital currency will be accessible to all Nigerians". However, according to a report citing the IT director, CBN's digital currency will differ from privately issued cryptocurrencies such as bitcoin, which a Nigerian senator previously accused of making the naira currency "virtually useless." currencies. Mohammed stressed the importance of this digital currency initiative and said: “We spent more than two years studying this concept of a central bank digital currency and identifying the risks. And that is one of the reasons I say as we continue this journey, we are building a central governance structure that includes access to all risks by all industry stakeholders. The director adds that CBN will make an announcement "very soon" on the CBDC launch date. CBN's Digital Currency Driver By the way, with these recent comments, Mohammed has become the second CBN official to suggest the launch of the digital currency. In May 2021, CBN Governor Godwin Emefiele said that digital currencies will "revive even in Nigeria." Meanwhile, comments on digital currencies by both Mohammed and Emefiele came just months after CBN ordered banks to stop expanding their services to cryptocurrency holdings. Nigerian authorities have blamed cryptocurrency exchanges and start-ups for fueling the currency shortage and causing the naira to depreciate on the black market. In the meantime, with just six months left until the end of the year, we'll see if the promises of digital currencies will come true. What do you think of this latest digital currency review by a CBN office?

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