The last quarter of 2024 marked a transformative period for the global crypto ecosystem, with Africa, particularly Nigeria, commanding significant attention. With the trend of industry-defining milestones and strategic advancements witnessed in the last quarter of 2024, the groundwork for solidifying Nigeria’s position as a key player in the global alternative finance and cryptocurrency landscape in 2025 has been laid.
Nigeria emerged as the 2nd-highest-ranking nation on Chainalysis‘ 2024 Crypto Adoption Index, this places the nation in a position to solidify its position as the strongest Crypto market in Africa. Central to this momentum are players such as Yellow Card, leading the way in funding, pushing for regulation, and developing innovative solutions for the African market.
Building On The Milestones And Growth In 2024
Nigeria’s high ranking in the Chainalysis report is attributed to its exceptional performance in categories such as DeFi Value Received and Retail Centralized Service Value Received, where it ranked 2nd globally only behind India. This underscores Nigeria’s growing importance as a global crypto hub and its unique ability to harness cryptocurrency for both institutional and individual use cases. In the Sub-Saharan Africa region, no other country made it into the top 20, further highlighting Nigeria’s pivotal role in shaping the continent’s digital financial future.
The African Crypto space also saw substantial funding and investment in 2024, with Yellow Card – the largest Stablecoin on/off-ramp on the continent, with operations in 20 African countries – raising US $33 million in its Series C fundraise. These funds will be used to scale operations, drive growth, and support expansion efforts, with a particular emphasis on the Payments API and Widget products. These products have been highly successful, serving as key gateways for international businesses to access African markets.
Regulatory Insights
Africa is emerging as a global leader in the development of cryptocurrency regulations, making progress at a pace unmatched by most other regions. Take Nigeria, Yellow Card’s largest market, as a prime example. Under the leadership of the new SEC Director-General, Mr Emomotimi Agama, Nigeria has rapidly advanced its regulatory framework since his appointment in March 2023. After two years of stagnation following the introduction of crypto regulations in 2022, Mr. Agama revitalized the landscape by launching the SEC’s regulatory incubation programs just months into his tenure. His leadership is creating a safer ecosystem for crypto customers in Nigeria while supporting critical efforts by the FIU and EFCC to combat money laundering and terrorism financing. Additionally, it has contributed to increased tax revenue through improved oversight by the FIRS.
Beyond Nigeria, the continent is witnessing significant regulatory strides. Botswana issued Africa’s first VASP license – awarded to Yellow Card – while South Africa, Namibia, Mauritius, Seychelles, and the CEMAC region have also introduced regulatory frameworks. Draft laws and regulations are advancing in Kenya, Uganda, Rwanda, and even Morocco, where crypto remains banned. Notably, Yellow Card secured its Crypto Asset Service Provider (CASP) license in South Africa last year and in Nigeria, we’ve already submitted an application under the Accelerated Regulatory Incubation Programme (ARIP) and are awaiting approval in principle.
Africa’s regulatory environment for cryptocurrency is not just dynamic – it’s leading the way globally. With Nigeria at the forefront, the continent is setting the standard for innovation and responsible oversight in the crypto space.
The Road Ahead: Driving Innovation and Expansion in Africa
The resurgence of Bitcoin’s value in the final quarter of 2024 and the growing adoption of stablecoins have further sparked renewed interest in the crypto space. With DeFi and crypto trading gaining traction and adoption in Nigeria – as seen in the Chainalysis’ 2024 Crypto Adoption Index – 2025 is poised to witness increased integration of blockchain technology into everyday financial activities. However, this growth comes with a mix of curiosity and anticipation as consumers, enthusiasts, and industry leaders speculate on what lies ahead.
No doubt 2025 promises to be a year of unprecedented growth, collaboration, and opportunity for African alternative finance and the cryptocurrency space, and Nigeria continues to be the driver.
By: Lasbery Oludimu: Vice President of Global Operations and Managing Director of Yellow Card Nigeria
