eNaira is Nigeria issued digital currency that offers a unique money denomination in naira. The e-Naira served as a medium of exchange and store value, offering better payment prospects in trade transactions when compared to cash payments; the eNaira was officially launched on 1st October 2021.
At the launch of the eNaira, the CBN Governor Godwin Emefele said that 509 million eNaira has already been minted, that is $1.21 million the digital currency, and its merchant wallet is available for download after being launched.
Nigeria is one of the first countries globally and certainly the first in Africa to develop an official digital currency. While digital currency has taken off, many Nigeria still doesn’t understand how the digital currency operates and why the country needs a digital currency in the first place. Here are a few things you should know about the eNaira.
It is A Digital Form Of The Naira Currency
The eNaira is the digital form of the Nigerian physically currency notes in circulation; it is issued by the central bank of Nigeria in line with section 19 of the CBN acts. It is a direct liability of the Nigerian apex bank built in a blockchain open ledger technology that prevents duplication or creation of fake units. Each eNaira note will be uniquely different.
Is eNaira a Cryptocurrency?
If you are wondering if the eNaira is a cryptocurrency, well, the answer is no; the eNaira is not a cryptocurrency, it is simply a digital currency issued and backed by the Nigerian government, and it is a legal tender equivalent to the physical cash.
It is very much unlike Bitcoin and other cryptocurrencies because they are decentralized currency they have no backing of the government, the eNaira is pegged against Naira notes, and it will not fluctuate due to market influence at a different rate from the Naira notes.
Enaira at par with 1N
The eNaira is a legal tender and will form part of the currency in circulation. The e-naira will be at par with the physical Naira, maintaining the same exchange value as the naira; this means that enaira has the same value as the naira note. N1=1 e-naira.
What is the eNaira Wallet?
The eNaira wallet is used to hold the eNaira wallet. The eNaira wallet is accessible only through the eNaira wallets, the digital storage that holds the naira wallet.
How Does eNaira Work
The eNaira will be provided by CBN to financial institutions as intermediaries who would help supply to individuals and customers; these financial institutions would maintain a treasury wallet to collect eNaira from CBN, they would after that oversee the satisfaction, eNaira payments processing, and generation of wallets for Nigeria to keep their eNaira.
If you are interested in investing in the eNaira, you can do so via financial institutions authorized by the central bank of Nigeria; PLEASE ensure s to make research before diving in.