Nigeria, which is the biggest economy in Africa, has now become the second-largest peer-to-peer (P2P) Bitcoin market for Paxful. Recently, Paxful has shared an analysis that claimed Nigeria has traded 60,215.7 BTC. It comes in the second place as the U.S. has exchanged 535,660.3 bitcoins within the period that the company has reviewed.
Along with Nigeria, Kenya is also showing very impressive numbers as it has traded 5,894 Bitcoin within this period. Through this, it is positioned at the eighth number in the most active Bitcoin markets all over the world. However, in Africa, it comes in second place after Nigeria.
Ray Youssef, the CEO and co-founder of Paxful, has said that the challenges which the country faces in cross-border liquidity has also led to this huge success of Bitcoin. Nigeria faces several problems and restrictions in sending and receiving money from outside the border of the country.
According to the data by Paxful, despite the U.S. being at the top in Bitcoin trades, it has experienced a decline of 32% in 2020. However, the Philippines, on the other hand, has recorded a huge increase of 7,339% in Bitcoin trade, this year.
Brian McCabe, Head of Market Insights at Paxful, has said that the major reason behind this huge increase in Bitcoin volumes is because of the recession caused by the COVID-19 pandemic. In this period, people have started seeing cryptocurrencies as an alternative to traditional money. Not only an alternative, but it has also become an option of earning money and increase wealth. He stated:
“If emerging currencies continue to experience pressure, bitcoin could once again become the alternative if people are unable to preserve wealth in their own currency.”