A new study on cryptocurrency use in Nigeria has shown that most of the country’s crypto investors are young, low- to middle-income earners using digital assets not for gambling, but for survival and stability.
Reviewed by The News Chronicle, The State of Crypto Adoption in Nigeria 2025, published by Quidax in collaboration with IFS Insights, describes a market that has outgrown its speculative beginnings to become an essential part of Nigeria’s financial life.
According to the findings, about 85% of Nigerian retail crypto investors earn below ₦250,000 per month, while students alone make up 43% of the nation’s crypto population.
The survey, which involved more than 1,850 respondents across the country, estimates that 26.3 million Nigerians have used or currently use cryptocurrency, roughly one in every eight adults.
“Our data shows that approximately 85% of retail crypto investors earn below ₦250,000, which places the majority of the crypto population in the low- to mid-income bracket,” the report stated.
“This investor class, however, is not a high-net-worth segment. The market’s primary drivers are the need for a hedge against inflation and the search for financial autonomy, not speculative returns.”
Between July 2024 and June 2025, Nigeria recorded an estimated $57.11 billion in crypto trade value. Unlike global markets where large players dominate, this figure is largely driven by small, frequent transactions made by millions of everyday users.
Most transactions fall between ₦15,000 and ₦25,000, suggesting that cryptocurrency has become a regular tool for daily savings, remittances, and payments.
Quidax’s research also revealed that eight out of ten Nigerian crypto investors use digital assets for purposes beyond short-term trading, identifying three main groups of users:
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Savers (67%) — individuals using crypto for long-term savings and wealth protection.
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Pragmatists (18%) — users who rely on digital assets for everyday needs such as payments, tuition, or remittances.
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Traders (14%) — those actively trading for profit or supplementary income.
The report describes these investors as “a nation of savers, not gamblers.”
While Bitcoin remains popular for long-term holding, stablecoins such as USDT (Tether) are now the most used and transacted digital assets in Nigeria.
They act as “digital dollars,” providing a stable store of value against the volatile naira, which lost over 200% of its value between May 2023 and February 2024.
Many Nigerians now convert their earnings to USDT immediately after receiving payment, using it for savings, cross-border trade, and freelance income from abroad.
“It serves as a hedge against the devaluation of the naira. It helps me to protect my savings and purchasing power,” one respondent said.
This widespread use of stablecoins represents what analysts describe as a grassroots dollarization of the Nigerian economy; not with physical dollars, but with their digital equivalents.
The report found that Nigerian crypto users are fiercely loyal to their preferred platforms. Despite regulatory changes and market volatility, 70% of investors remain with their chosen exchanges rather than abandoning the market.
About 83% use centralized exchanges such as Binance, Bybit, and Quidax, while only 10% rely on peer-to-peer trading platforms and 2.6% use decentralized exchanges.
“Even after a bad experience, most users don’t quit crypto. They simply pause and return when the situation stabilizes,” the report noted.
Although Lagos accounts for 23.5% of all respondents, the report shows that adoption has expanded across Nigeria. Kaduna, Enugu, Abuja, and Osun recorded high participation.
The Securities and Exchange Commission (SEC) and the Central Bank of Nigeria (CBN) are now in coordination under the Investment and Securities Act 2025, which now classifies digital assets as securities and allows banks to serve licensed crypto firms.
“The SEC’s approach is not punitive but a ‘sanction-free invitation to innovate,’ signaling a collaborative future where regulation and growth can coexist,” the report said.
Analysts believe this development will open the way for more legitimate crypto businesses and integration with formal banking systems.
