Summary: Nigeria's cryptocurrency exchanges are recognized for their commitment to offering a user-friendly and accessible investment experience. They boast straightforward registration procedures and a broad range of investment options. These platforms rigorously adhere to Nigeria's financial regulations, providing a secure trading environment.
Our comprehensive analysis highlights the top 5 cryptocurrency exchanges in Nigeria. Each exchange stands out for its strict compliance with Nigerian regulatory requirements, a wide range of assets to buy, low trading fees, and the unique features and services they deliver.
- Buy, sell and trade over 1000 cryptocurrencies with up to 25x leverage.
- Free and instant Nigerian Naira (NGN) deposits from Nigerian banks.
- Regularly audited proof-of-reserves that shows assets are held 1:1.
Best Crypto Exchanges in Nigeria
Our expert team has diligently developed a comprehensive evaluation process to identify the leading cryptocurrency exchanges ideal for Nigerian investors. This analysis focuses on compliance with the country’s financial regulations, user-friendliness of the platforms, fee policies, features, and the diversity of assets available. Following our extensive research, we have curated a list of the top 5 digital asset trading platforms catering to traders in Nigeria.
1. Bybit
Bybit is the top choice in Nigeria for its diverse range of financial products, including spot trading, derivatives, and margin trading, with leverage options up to 25x on over 1000 crypto assets. Its standout feature is the 'Perpetual Contracts', allowing traders to speculate on the future prices of cryptocurrencies without an expiry date. The platform also offers an innovative 'Strategy Alert' system, enabling traders to set customizable alerts based on specific market conditions. Its user experience is enhanced with a mobile app that offers full trading functionality, real-time market data, and wallet access. Their robust risk management system, including the 'Dual Price Mechanism', protects traders from market manipulations.
- Minimum Deposit: 450 NGN for first-time deposit.
- Supported Assets: 1000+ Cryptocurrency.
- Regulation: Registered in Nigeria.
- Fees: Costs include a 0.1% fee for spot trading, 0.01% fee for maker orders, and 0.06% for taker orders on futures markets. Deposits and withdrawals in NGN are completely free of charge.
2. Kraken
Kraken's excellence in Nigeria is rooted in its transparent and secure trading environment. The platform is known for conducting regular external proof-of-reserve audits, reassuring users about the safety of their funds. It offers a wide range of products, including futures trading and margin trading, with up to 5x leverage on over 200 assets. Kraken's staking feature allows users to earn rewards on their cryptocurrency holdings, and its 'Cryptowatch' tool provides real-time cryptocurrency market data, charting, and trading across multiple exchanges. It also supports a broad range of fiat currencies for deposits and withdrawals, including the Nigerian Naira, enhancing accessibility for local traders.
- Minimum Deposit: 1000 NGN for first-time deposit.
- Supported Assets: 200+ Cryptocurrency.
- Regulation: Registered to operate in Nigeria.
- Fees: Costs include a 0.26% fee for spot trading, and the maker/taker rebate is 0.02%/0.05%.
3. Gate.io
Gate.io excels in Nigeria with its extensive selection of over 1700 cryptocurrencies, making it a haven for altcoin traders who want to invest in memecoins, dog coins, NFT coins, Web3 tokens and more. The exchange features unique products like crypto loans, margin trading, and ETF leveraged tokens, catering to various trading strategies. Gate.io's 'Startup IEO Platform' is a distinctive offering, providing users with early access to initial exchange offerings. The platform is equipped with advanced charting tools and a range of technical indicators, aiding traders in technical analysis. Gate.io also prioritizes security with features like cold storage wallets and two-factor authentication, ensuring the safety of user assets.
- Minimum Deposit: 500 NGN for first-time deposit.
- Supported Assets: 1700+ Cryptocurrency.
- Regulation: Not regulated in Nigeria.
- Fees: Costs include a 0.1% fee for spot trading, and deposits and withdrawals in NGN are completely free of charge.
4. Luno
Luno's prominence in Nigeria is due to its tailored services for the African market, including instant buy/sell features and a simple user interface ideal for beginners. Luno's 'Savings Wallet' allows users to earn interest on their Bitcoin holdings, a unique feature in the African crypto space. The platform supports over 200 major cryptocurrencies and provides detailed market analysis. It also integrates with local payment methods like bank transfers and mobile money, simplifying deposits and withdrawals for Nigerian users. Their commitment to regulatory compliance and user education through Luno's Learning Portal adds to their credibility and trustworthiness.
- Minimum Deposit: 4 million NGN for first-time deposit.
- Supported Assets: 200+ Cryptocurrency.
- Regulation: Regulated in Nigeria
- Fees: Costs include a 2% fee when you deposit, withdraw, or trade funds on the platform. Every transaction will cost 2%.
5. Bitget
Bitget's popularity in Nigeria is driven by its no KYC policy, attracting users who prioritize privacy. The platform offers innovative products like 'One-Click Copy Trade', allowing users to replicate the strategies of experienced traders. It features futures trading with up to 125x leverage, providing opportunities for high returns. The exchange also offers 'Grid Trading', enabling automated buying and selling within a predefined price range. Despite the absence of KYC, Bitget maintains robust security measures, including multi-signature cold wallets and SSL encryption, to safeguard users' assets and data. Their user-friendly mobile app ensures traders can access the market and manage their portfolios on the go.
- Minimum Deposit: 400 NGN for first-time deposit.
- Supported Assets: 500+ Cryptocurrency.
- Regulation: Not regulated in any country hence no KYC requirements.
- Fees: Fees vary for trading that start from 1% and can get to negative rates the higher your monthly trading volume is. Deposit costs are between 1% - 4% depending on the payment method.
Is Cryptocurrency Regulated in Nigeria?
The cryptocurrency market in Nigeria plays a significant role in the nation's economic landscape, subject to distinct regulatory guidelines. The regulation of digital currencies in Nigeria falls under the scope of the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC). These bodies are pivotal in overseeing the crypto industry, aiming to promote market growth while ensuring the protection of Nigerian investors.
To achieve these objectives, the CBN and SEC enforce a detailed regulatory framework for cryptocurrency exchanges operating in Nigeria. These rules include measures for Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT), aligning with global standards and regional agreements. As Nigeria seeks further integration with international financial systems, it diligently upholds these regulations to ensure a secure, transparent, and efficient cryptocurrency trading environment.
How to Buy Bitcoin in Nigeria
For Nigerian residents interested in entering the cryptocurrency space, Bybit offers a secure and user-friendly platform. This service enables the deposit of Nigerian Naira (NGN) through diverse methods, including bank transfers, credit cards, and debit cards, facilitating easy integration with Nigeria's financial systems. It provides access to a broad spectrum of over 1000 digital assets for trading, all at competitive fee rates.
Here's a simple guide to start trading Bitcoin in Nigeria with Bybit:
- Create Account: Sign up on Bybit for free using your email address and establish a secure password.
- Pick Deposit Currency: Navigate to ‘Buy Crypto’, select ‘One-Click Buy’ and choose NGN as your fiat currency for deposit.
- Select Payment Method: Opt for a preferred deposit method from the provided options and choose Bitcoin as your cryptocurrency of choice.
- Execute Trade: Enter your investment amount and press ‘Buy’ to complete the transaction.
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Nigerian Tax Requirements
In Nigeria, the Federal Inland Revenue Service (FIRS) oversees the tax regulations for cryptocurrencies, providing detailed guidelines for both individuals and enterprises. Nigerian residents owning cryptocurrencies must report their value for tax purposes, influencing their capital gains tax obligations. Similar to other countries, Nigeria imposes a capital gains tax on profits from digital assets.
For Nigerian businesses and self-employed individuals, cryptocurrencies are considered part of their business assets. As a result, both income and capital gains taxes are applicable. Revenue from activities such as mining, staking, or lending tokens is viewed as business income and is subject to taxation in line with the relevant tax brackets. Additionally, standard Value Added Tax (VAT) rules may apply to certain cryptocurrency transactions in Nigeria.
Final Thoughts
To wrap up, Nigeria's cryptocurrency landscape presents a vibrant and diverse ecosystem, offering a range of exchanges that cater to various needs and preferences. The best five cryptocurrency trading platforms in Nigeria are Bybit, Kraken, Gate.io, Luno, and Bitget. They not only comply with local regulations but also innovate to provide users with secure, efficient, and user-friendly trading environments. As the Nigerian crypto market continues to evolve, these exchanges will likely play a pivotal role in shaping its future.
I fell into crypto during the 2017 mania and have been around ever-since. I now write, research and publish my own reports on the digital asset ecosystem.
