The Nigerian crypto community is set to receive a boost as a new income solution is set to launch in the country. The project is the result of a collaboration between two fintech startups in Africa. The startups, Cudos Network and Tingo are partnering to deliver a Passive Income system that will help users to earn rewards in digital tokens.
According to them, the system will bring the digital banking system to unbanked Nigerians. Both Cudos and Tingo partner to offer digital payment solutions through which users can earn. Cudos is a cloud storage platform while Tingo is a mobile payments processor. Although this is the first time that both startups will partner, they have plans for a long-term partnership that will focus on offering digital solutions to meet the growing internet demands.
In their joint statement, Cudos and Tingo said that they are joining hands to work towards reaching the vast population of Africa that has no access to banking solutions. Their goal is to reach that population and empower them with modern solutions to rise from the poverty that has touched Africa. Cudos and Tingo hope to reach Nigerians with their pilot mobile solution.
Details of The Solution
Cudos is providing the cloud computing services to run Tingo’s mobile solution. The Tingo mobile app has already registered over 10 million users in Nigeria and other African countries. The app is a cloud-based solution that provides mobile users with access to blockchain nodes. Tingo is now ready to offer access to digital tokens to its users.
The proposed financial ecosystem will be launched for Nigerians and will be moderated by Nigerians. The moderators will have the opportunity to earn rewards in CUDOS, the native token of Cudos Network. The token is set to be launched on CoinField, a crypto exchange platform. Tingo is also going to list its subsidiary company on the US stock market soon, giving investors an opportunity to trade in stocks.
What Does This Mean for The Nigerian Crypto Community?
The Nigerian crypto community has been subjected to a government crackdown that has made it more difficult for them to exchange the Naira for cryptocurrencies. In a recent internal memo, a commercial Bank in Nigeria said that it was going to enforce the Central Bank of Nigeria’s order to suspend the accounts of any customer suspected of trading cryptocurrencies.
Nigerian crypto traders took to the popular microblogging platform, Twitter, to express their disappointment with the CBN’s decision which many of them said would reduce the access to banking services.
Cudos and Tingo’s mobile solution will bring a measure of relief to Nigeria’s underbanked or unbanked population by offering a safer way to access the blockchain nodes without risking the CBN’s wrath.
Nigeria has the second-highest crypto-ready market with 18% of Nigerians young population owning some crypto. The digital payment solution continues to gain acceptance and adoption among Nigerian youths who have been called the leaders in the African crypto space.
