A recent survey shows that Nigeria and South Africa lead global stablecoin demand.
People in these countries use dollar-pegged tokens more often to protect themselves from naira instability, limited foreign exchange, and high payment costs.
The Stablecoin Utility Report, conducted by YouGov with BVNK, Coinbase, and Artemis, surveyed over 4,650 people in 15 countries.
Nearly 80% of Nigerians and South Africans already own stablecoins, and more than 75% plan to buy more in the next year.
Notably, 95% of Nigerian respondents said they would prefer to be paid in stablecoins rather than naira.
Stablecoins like Tether (USDT) and USDC offer quicker, cheaper transfers. More people use them for remittances and savings.
Nigeria’s foreign exchange problems have led to a $22 billion stablecoin market in the past year.
Yellow Card reports this makes up 43% of all crypto transactions in Sub-Saharan Africa.
“People are already getting paid and spending stablecoins, especially in areas where traditional payments are slow, expensive, or unreliable,” said Chris Harmse, co-founder of BVNK.
Worldwide, the stablecoin market is worth over $310 billion, and U.S.-pegged tokens lead. Analysts predict continued growth as new U.S. regulations, such as the GENIUS Act, take effect.
Yet regulators are cautious. The Central Bank of Nigeria (CBN), which previously banned banks from handling crypto transactions, is concerned that stablecoins could reduce deposits in traditional banks and make it harder to manage monetary policy.
Since few people use the eNaira, many Nigerians now prefer stablecoins. As this trend continues, stablecoins are emerging as practical tools for payments and remittances.
STABLECOINS PHOTO CREDIT: coincentral.com
