After several months of speculations, the Central Bank of Nigeria is finally coming out with more details about the much anticipated central bank digital currency “the e-Naira”.

Nigeria’s apex bank, has released new guidelines on how e-Naira, a state-supported digital currency, will be regulated, designed, and issued.



Talks about a digital currency started a few months after the present government placed a ban on Cryptocurrency trading, the CBN governor, Godwin Emefiele, announced plans to launch a national digital currency.

Table of Contents
What is E-Naira?
Central Bank Digital Currency vs Cryptocurrency?
How the E-Naira works
What is E-Naira?

eNaira is simply an electronic legal tender for the entire country. It is the same Naira currency but this time a digital version.

Read more:
https://techibytes.com/e-naira-the-new-central-bank-digital-currency/

Full write up here:

What is E-Naira?
eNaira is simply an electronic legal tender for the entire country. It is the same Naira currency but this time a digital version.

The apex bank added that

“As a National Critical Infrastructure, the e-naira system will be subject to comprehensive security checks, all data and personally identifiable information (PII) will be kept off the ledger and will not be stored on the ledger”

Central Bank Digital Currency vs Cryptocurrency?
e-naira
The question in everyone’s mind, is CBDC (Central Bank Digital Currency) the same as Cryptocurrency? If yes, why would the government create something they already banned? Also what’s the purpose of this digital currency?

Digital currencies or Central Bank Digital Currencies (CBDCs) are quite different from cryptocurrencies. Cryptocurrencies are decentralised digital coins like Bitcoin, Ethereum, USDT, Dogecoin and the likes. Cryptos are not regulated by any central authorities but CBDCs are regulated by states and in this case the CBN.

They’re basically the digital formats of any country’s currency, without exchange rates. This means the paper tender is equal to the digital tender.

Many countries are currently exploring the possibilities of digital currency, only two countries have successfully launched CBDCs: the Bahamas launched the sand dollar in October 2020, and China launched the digital yuan earlier this year, Nigeria is on the verge of launching. Ghana is also making plans to pilot this year, and other African countries like South Africa, Egypt and Morocco are still considering the technology.

How the E-Naira works
According to a report, the digital currency will be accessible to both bank and non-bank account holders. As a means to transact value, the wallet doesn’t compete with existing banks but is awaiting the creation of wallets by banks and other innovators

CBN will institute a three-tier speed wallet system for Nigerians who are interested in acquiring the currency to meet the October 1, 2021 deadline.

The Tier 1- wallet is open to anyone without a bank account. However, users will have to submit a passport photo, a name, birth date and place, a phone number, and their address.

A N50,000 limit is in place for “Send & Receive”. The minimum requirement is the individual’s National Identity Number (NIN), which will be validated. A cumulative balance of N300,000 is fixed each day.

Tier 2- wallet users require a Bank Verification Number to access transfer limits of ₦200,000 ($478) daily and a balance of ₦500,000 ($1,196).

The Tier 3- wallet holders can transact up to ₦1,000,000 ($2,329) daily with the cumulative balance set at ₦5,000,000 ($11,961). At least a BVN is needed to get this wallet category.

The Central Bank further disclosed, neither merchants nor customers using the wallet will be charged a fee.

Conclusion

In order to fast track the adoption of e-Naira, banks will facilitate onboarding and provide world-class customer service.

The CBN also outlined that Nigerian banks will be allowed to invite all their customers to register for the enaira digital currency.

“Besides pre-generated codes, the banks can send invitation codes for onboarding to a specific list of selected customers. Onboarding will be done for customers who have a code assigned by their banks. The banks have already validated and verified these customers.”

This e-Naira is just numbers on your screen not real money.

Buy food and keep in your house for what's coming.

malcom1X:
This e-Naira is just numbers on your screen not real money.

Buy food and keep in your house for what's coming.

why do you say so explain

heniford2:
why do you say so explain

The world is moving towards a great reset.


Get like 3 months of food stored at home. You won't regret it.

malcom1X:


The world is moving towards a great reset.


Get like 3 months of food stored at home. You won't regret it.

hmm i feel the Reset started with this covid stuff buh normalcy is returning or do think more is coming

heniford2:
hmm i feel the Reset started with this covid stuff buh normalcy is returning or do think more is coming

Just be prepared man.

We have not finished one problem, this govt is trying to create another one when it is obvious we have incompetent people ruling us at all levels.

Who will regulate this enaira of a thing?
Is it the same CBN that under their watch, Naira is becoming useless against other African currencies before mentioning dollars o.

malcom1X:


Just be prepared man.

nothing dey happen oh i just pity people in nigeria if e reach germany then we go take serious

So they banned cryoto, only to come up with a digital currency later, we Nigerians should also ban the e-naira too by not patronising or using it.