Nigeria’s central bank’s (CBDC) digital currency, eNaira was criticized by the International Monetary Fund (IMF).
According to the global entity, the use of eNaira as a cross -border payment medium actually leads to the risk of money laundering and financial terrorism.
Not only that, the IMF is also concerned about cyber security that may be compromised through the presence of eNaira.
As a result, the IMF urged Nigeria’s central bank to conduct a more transparent and comprehensive assessment in accordance with current anti-money laundering protocols, thus tackling financial terrorism.
Though the IMF claimed CBDC was cheaper and safer than crypto a few weeks ago. They forgot to?
For the record, eNaira uses a phased customer identification model with strict transaction limits per tranche.
Consumers at the grassroots level (usually comprising the population who do not have a bank account) can spend as much as $ 120 a day. While for the upper category, allowed to make daily transactions between $ 748- $ 2,438.
ENaira details
The Central Bank of Nigeria (CBN) introduced eNaira in October 2021 after a year of blocking banks from offering services to crypto exchange platforms.
The first month - 500,000 users have uploaded digital wallets, and 80,000 retailers have already received eNaira.
The first three months - a total of 188 million eNaira ($ 450,000) transactions were recorded.
The performance addresses eYuan which only recorded transactions totaling $ 315,000 during the recent Winter Olympics.
