The Central Bank of Nigeria has passed a rule that leaves most Nigerian money transfer operators unable to provide services to that country, making bitcoin a more valuable remittance tool, according to The Daily Post Nigeria.
Only three companies – Ria, Money Gram, and Western Union – can continue money transfer operations. Nigerians using these services will have to pay high fees for sending money across international borders. Hence, bitcoin offers a solution since it allows people to send any amount anywhere at any time at negligible cost, usually in less than five minutes.
Fiat Remittances Cumbersome
Sending fiat currency across borders requires sending the funds from an originating bank through a third party that provides the money transfer service, such as Ria, MoneyGram or Western Union, which charges fees and often incur glitches in delivering the funds to the receiver.
The need for remittances is growing because families increasingly have members living in different countries who often have an urgent need of money. Parents can send their children who might be studying abroad instantly and safely.
Entrepreneurs in Nigeria frequently need to send