The case for cNGN

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It is clear that the Nigerian government is making an effort to improve the country's situation, as the economy has been struggling and poverty rates are increasing. Recently, I mentioned how the government injected US dollars into the foreign exchange market to increase the value of the Naira. However, my prediction is that this was a temporary solution as the value of the Naira continues to decrease. This was likely due to the government's use of a "pump and dump" mechanism. Now, the government is proposing a new approach to stabilize the Naira, but I am skeptical of its effectiveness.

The government is proposing to launch a new cryptocurrency, cNaira, which will use blockchain technology and be launched on the BNB chain next month. This is a significant step forward for the Naira, as it represents a move towards transparency following the failure of Enaira, which was launched with over 1 billion Naira in two years ago. This proposal aims to regulate the amount of money that goes into the crypto world, as the CBN believes that it is necessary to do so.

The technology behind this Is simple and It's straightforward because what happens is that immediately you deposit naira into any exchange cNaira will be created, and immediately you withdraw your Naira from any exchange the token will be burn instantly, and what they are planning to do now is that they want to make it big, they want to launch it on every big exchange of cryptocurrency, and it will be a token on the Binance chain, so it is not a small project, and it will be launching next month. But the question is, is this another eNaira failure, or is something big about to happen to the Naira?

Will be usable but the solution

The Nigerian government is struggling to address the worsening economic situation as the value of currency continues to decrease daily. The average citizen is finding it difficult to afford basic necessities, which were previously within reach. The sudden increase in token creation without actually creating any value for the token is similar to the practice of pumping and dumping, and this is believed to be a contributing factor to the devaluation of Naira. As a result, investors are losing faith in the currency, leading to a rapid outflow of funds.

The primary challenge is to generate value that can attract a larger audience, retain them, and make them believe in the potential of the country, even those who have lost faith in it. It's unreasonable to expect investors to consider our country when the situation is deteriorating day by day, and we aren't bringing in new investors and capital. One potential solution is to produce value that can draw new investors to the country and bring foreign currency into the economy, thereby increasing the value of the Naira. However, creating a token is not the optimal strategy. How do you feel about the current state of the economy?