Nigeria, one of Africa's largest economies, has become a BRICS partner, coinciding with the United States’ announcement of strong relations with this country. Nigeria’s new status in BRICS and its partnership with the USA create tension, as the alliances have differing views on cryptocurrencies and dollar dominance.
On October 23, 2024, the U.S. Embassy in Nigeria announced a bilateral agreement to combat cybercrime, including illegal actions with cryptocurrencies. Both countries adhere to strict rules to prevent money laundering, which led to the arrest and trial of former Binance CEO Changpeng Zhao.
Nigeria ranks second globally in crypto adoption as cryptocurrencies serve as an alternative to the scarce U.S. dollar. According to Chainalysis, from June 2023 to June 2024, Nigeria received over $59 billion in cryptocurrency, but strict regulations limit this possibility.
The partnership with BRICS suggests Nigeria’s support for economic independence from the West, which contradicts U.S. interests. BRICS promotes blockchain for international settlements, and several alliance countries already use cryptocurrencies to circumvent sanctions.
