Coinbase has partnered with Onboard Global to simplify crypto trading in Nigeria, allowing transactions in Naira through a P2P platform. Users can trade under $100 without ID verification, enhancing accessibility. This partnership also manages regulatory risks while providing diverse payment methods for Nigerian users. Nigeria serves as a test case for expansion to over 50 other markets in 2025.
Coinbase has announced a partnership with Onboard Global to enhance cryptocurrency trading for users in Nigeria, allowing transactions in Naira through a peer-to-peer (P2P) exchange. This initiative aims to make digital asset purchases more accessible and cost-effective. Importantly, for trades under $100, users can forgo ID verification, significantly lowering barriers for new participants in the crypto market.
Despite previous reluctance to operate in Nigeria due to regulatory uncertainty, the recent switch in leadership at the Nigerian Securities and Exchange Commission (SEC) signals a shift towards more structured regulations. Earlier concerns were amplified when the government took action against major exchanges, including Binance, as it sought to address the depreciation of the Naira.
The strategic partnership between Coinbase and Onboard Global allows for the effective management of regulatory risks. Onboard Global will oversee user verification and operate the P2P trading platform, ensuring compliance with local laws while keeping Coinbase insulated from direct regulatory challenges. This plan incorporates Coinbase’s Base, an Ethereum-based layer-2 blockchain, minimizing transaction costs and providing access to more than 540 tokens.
Additionally, Nigerian users will benefit from a wider array of cryptocurrency purchasing options made possible by Onboard Global’s collaboration with various liquidity providers, such as Yellow Card and Alchemy Pay. Funding accounts will be simplified, as users will have the option of bank transfers or direct purchases from P2P merchants.
According to Coinbase, Nigeria is just the starting point for this new payment infrastructure, with Onboard Global looking to expand to over 50 other markets in 2025, including countries like Argentina, India, and Kenya. This marks a significant shift for Coinbase as it positions itself to meet the rising demand for cryptocurrencies in emerging markets while effectively managing regulatory risks through local partnerships.
In summary, Coinbase’s partnership with Onboard Global represents a strategic move to facilitate cryptocurrency access in Nigeria by leveraging P2P trading options and minimizing regulatory hurdles. The elimination of ID verification for small transactions and the expansion of payment methods are steps toward enhancing financial inclusion. As Nigeria serves as a pilot market, Coinbase plans to apply this model to numerous other emerging markets in the future.
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