What to know about cNGN stablecoin

Hello Bantu!
FunFact:

Nigerian banks and other fintech companies will launch the cNGN stable coin on February 27, 2024.

What to know

  • The cNGN is a stable coin that will allow you to transact anywhere in the world using the Naira.

  • ⁠The cNGN will allow you to purchase and sell goods at the official CBN rate.

  • ⁠The cNGN will eliminate the traditional challenges of currency conversion and hefty international transaction fees.

  • ⁠It is similar to other stable coins like USDT and USDC and will join other currencies that can be used to trade from any part of the world.

  • ⁠It is expected to reduce and eventually eliminate the manipulation of the Nigerian currency by middlemen and currency changers.

  • ⁠Unlike the eNaira, which is developed solely by the apex bank, the cNGN is managed by a consortium, the Africa Stablecoin Consortium (ASC).

The cNGN is part of the Central Bank’s efforts to ensure the Naira becomes a stable currency that can be relied on by investors and users across the globe

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This sounds like great news. This would be a great development for making payments. But then does the Nigerian government and CBN have overreaching influence on the ASC seeing it’s an African initiative?

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@Hanyi The #ASC enables exchanges to seamlessly, affordably (and freely - when integrated with the #Bantu Blockchain maintained by the Bantu Blockchain Foundation) convert their #cNGN to the #Naira and vice versa, using compliant #stablecoin rails that are regulated and supervised by the Central Bank of Nigeria (CBN), the Securities and Exchange Commission (SEC) and all other required supervisory and regulatory bodies. This way, users can enjoy the benefits of both the traditional and the digital asset markets, such as speed, security, transparency and compliance.

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