The uninterrupted wave of interest in cryptocurrency recorded in the last few years among Nigerian youths is no longer the same. It seems to be dwindling. There hasn’t been much going on lately in terms of crypto evangelism – this wasn’t the case even as of 2022.
This is not to say that Nigerians aren’t still at the forefront of investing in and trading cryptocurrencies. In fact, Nigeria is one of the African countries with the highest population as well as the highest number of cryptocurrency adoptions. Six out of ten Nigerian youths are interested in cryptocurrencies on a scale of one to ten, according to Statista.
To support the above claim, Africa is currently the fastest-growing cryptocurrency market among developing economies and the world’s third-fastest-growing market as of Q3 2022. At this rate, many see Africa as the next hotspot for crypto and blockchain development.
At the heart of it all, Nigeria is one of the main African countries driving Africa’s crypto growth, ranking sixth globally in terms of crypto-related use, according to a report conducted by Chainalysis, a US blockchain data platform.
Nonetheless, what is currently missing is that social media fuss and the evangelism on cryptocurrency adoption – they are obviously fading away. Before now, the average Nigerian youth was always active, making strong cases on social media about how cryptocurrency was the best thing that had ever happened to them.
But when the reality of cryptocurrency, which some industry experts have described as gambling in disguise, hits anybody, that person either becomes stronger or sinks. Low or average income earners suffer the most because a good percentage of them invest or trade with all they got. This certainly goes against the universal law of crypto investments – you must invest the money you can afford to lose, not the money you cannot afford to lose.
In the same vein, high-income earners who have attained financial freedom suffer too, but the difference is that they have the liquidity to overturn their losses. They keep investing in both the long-term and short-term. In the long run, they recoup their losses and even make more money. It’s just difficult to see someone who invested in a coin for 3 years and didnt make more money.
Further and importantly, the crux of the matter is that there could be several factors contributing to the fact that social media isn’t currently on agog about crypto trading and investments in Nigeria.
Volatility: As previously stated, when reality sets in, the tune of the music changes. One reason could be that the recent volatility in the cryptocurrency market has caused some people to lose interest. As a result of the rapid rise of cryptocurrencies, some individuals may be skeptical about making investments or talk about them too much.
It’s also worth noting that the price of digital currencies is influenced by supply and demand, investor and user sentiment, government regulations, and media hype. Price volatility is caused by all of these factors
Lack of awareness: There are always updates from every angle in the world of cryptocurrency, but you can only know this if you keep your eyes on the ground. Some people may be unaware of the most recent developments and trends in the cryptocurrency space, which can sometimes cause them to be less interested or engaged in the discussion.
Shift in focus: Younger generations may also be shifting their attention away from cryptocurrency and toward other issues such as politics, social justice, and political activism. Nigeria just concluded its elections and this was an electioneering process that almost all the young people were very much interested in, and still.
In conclusion, the social media noise will pick up again once the prices of major cryptocurrencies go up. When it goes up, it means, investors are winning. Once, this happens, users will always speak about them on social media. The good thing about that is others might start developing an interest in crypto investment.
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