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    Home»Cryptocurrency»The role of digital currency in boosting financial inclusion
    Cryptocurrency

    The role of digital currency in boosting financial inclusion

    May 26, 20253 Mins Read


    Despite the fintech boom, millions of Nigerians are still financially invisible. Yes, we have made progress; more people have access to formal financial services today than they did a few years ago. But the truth is, too many are still locked out of the system. In rural communities and underserved regions, banking feels distant, digital tools are out of reach, and trust in financial institutions is paper-thin. Roughly 26 per cent of Nigerian adults remain financially excluded, with rural areas and northern regions bearing the brunt of this disparity. The promise of inclusion is loud in policy speeches, but quiet in real life. If we are serious about changing this, we must stop celebrating surface-level gains and start tackling the root causes—poverty, exclusion, and broken infrastructure. Access alone is not inclusion. We need solutions that meet people where they are, not where we wish they were.

    Cryptocurrencies present a promising alternative to traditional banking systems, particularly in regions grappling with underbanking. In Nigeria, platforms like FlashChange are empowering users to hedge against inflation, make cross-border transactions, and store value securely, features that are especially crucial in volatile economies.

    Consider this: a young Nigerian in a rural community might use stablecoins like USDT to preserve savings from naira depreciation; a Ghanaian freelancer could accept international payments from European clients in crypto; and a student in Zimbabwe might use digital currency to pay for online courses. These real-world use cases reflect crypto’s potential to bridge financial gaps and offer underserved populations a gateway into the broader financial ecosystem. However, challenges remain. Cryptocurrency volatility, regulatory uncertainty, and limited digital literacy hinder widespread adoption. These barriers must be addressed head-on for digital currencies to drive true financial inclusion.

    In recognising the need for regulation, Nigeria’s Securities and Exchange Commission is taking steps to bring clarity and structure to the fintech space. The SEC aims to protect investors and ensure transparency while supporting innovation. By engaging with stakeholders and providing clear regulatory guidelines, the commission hopes to foster a safe and conducive environment for the growth of digital finance.

    Advancing financial inclusion in emerging markets like Nigeria requires a holistic approach. While traditional banking systems play a role, digital currencies and fintech innovations provide alternative avenues for financial access.

    For these tools to be truly effective, they must be backed by sound regulation, widespread digital literacy, and improved technological infrastructure. Ultimately, financial inclusion is not just about access to services, it is about building trust and enabling individuals to participate meaningfully in the economy.

    By fostering collaboration between regulators, innovators, and communities, we can build a resilient financial ecosystem that leaves no one behind.

    Bidemi Oke, an entrepreneur, writes from Lagos via [email protected]



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