How NITDA wants to drive blockchain adoption in Nigeria

The National Information Technology Development Agency (NITDA) has launched its 2022 Blockchain Scholarship Scheme to train 30,000 Nigerians.

In 2020, the National Information Technology Development Agency (NITDA) stated that through its National Blockchain Adoption, Nigeria plans to capture a market share of around $10 billion through blockchain technology by 2025.

A draft of the strategy released in October 2020 stated that blockchain and decentralized ledger technology (DLT) would “facilitate the development of the Nigerian digital economy”.

Citing a study by PricewaterhouseCoopers (PwC), which predicted that blockchain technology – through its wide range of use cases – would potentially add $1.76 trillion to global gross domestic product over the next 7 years, making it 1.4 % of global GDP in 2030 NITDA Director General, Kashifu Inuwa, stated that Nigeria could incorporate the technology through its provincial services, payment services, digital identity, customer engagement and contract and dispute resolution applications.

NITDA’s blockchain adoption strategy is built on six initiatives:

• Establishment of the Nigeria Blockchain Consortium.
• Strengthening the regulatory and legal framework.
• Focus on delivery of national digital identity.
• Promotion of Blockchain digital competence and awareness.
• Creation of Blockchain Business Incentive Programs.
• Establishment of a national blockchain sandbox for proof of concepts and pilot implementation

Starting with the development of human capacity and digital competence, NITDA in collaboration with Domineum Blockchain Solutions has launched a Blockchain Scholarship, 2022 Scheme, which aims to train 30,000 Nigerians on blockchain technology to develop career skills in emerging technologies.

The program will be delivered through a hybrid mode (virtual and physical meetings) in all the states of the federation.

Outstanding teams in the project phase have the opportunity to join an incubation program in London, while others will be exposed to the BSV Ecosystem where they can be involved in various projects.

“The scholarship is open to all Nigerians who are willing to put in a minimum of 20 hours per week, have access to a laptop, demonstrate commitment and determination; no prior programming experience is necessary,” the agency said in a statement seen by Benjamindada .com.

Applications for the scholarship are ongoing and will end by 28 November 2022.

In September 2022, the Nigeria Export Processing Zones Authority (NEPZA) revealed that it is in talks with Binance with the aim of establishing a digital economic zone that will help entrepreneurs accelerate blockchain technology in the West African nation.

The partnership aims to build a digital hub similar to Dubai virtual free, the report revealed. Free trade zones attract zero percent tax rates, preferential tariff rates and 100% exemption from import and export duties that help improve international businesses.

“Our goal is to create a thriving virtual free zone to take advantage of a nearly trillion dollar virtual economy in blockchain and digital economy,” said Adesoji Adesugba, NEPZA’s CEO. Ex-Flutterwave and Andela CEO, Iyin Aboyeji’s latest initiative, Talent City is also involved in the partnership.

Another time the Nigerian government indicated its willingness to adopt blockchain technology was in 2021 when the Central Bank of Nigeria (CBN) used a Hyperledger Fabric Blockchain to power the nation’s digital currency – the eNaira.

Despite this development, cryptocurrency transactions are still banned in Nigeria following the instructions of the CBN. However, Nigeria’s Securities and Exchange Commission (SEC) said entities intending to offer crypto-related services or products in Nigeria must secure a Virtual Asset Service Provider (VASP) license.