Best Crypto Exchanges in Nigeria

Best Cryptocurrency Exchanges in Nigeria

Our team evaluated the 12 crypto exchanges accessible from Nigeria, focusing on platforms that align with the Nigerian Securities and Exchange Commission (SEC) regulations. In our review, we considered important factors like transaction fees, available assets, features, and Nigerian naira (NGN) deposit methods. Here are the top 5 options for Nigerian traders.

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1. Bybit

Bybit is easily one of the best crypto exchanges in Nigeria as it provides a dedicated Telegram support group for local investors and provides free NGN deposits. With more than 1,400 cryptocurrencies available, you can trade on spot, futures, and options markets. They even allow up to 100x leverage if you're feeling adventurous. 

Users can also stake, lend, and borrow assets and earn up to 280% APY on hundreds of tokens. There’s a demo account if you want to practice without any risk, and copy trading lets you follow the strategies of experienced traders. Other perks include an OTC desk for larger trades, a trading bot, Launchpad, TradeGPT, an NFT marketplace, and even a crypto Visa card.

• Fees: Maker fee at 0.02%, taker fee at 0.055% for futures and 0.1% for spot.
• Supported Assets: Over 1,400 digital assets.
• Regulation & Licensing: Licensed globally and available to users in Nigeria.‍
• ‍NGN Deposit Methods: Bank transfers, Chipper Cash, UPI, IMPS, credit card, debit card and Apple Pay.

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2. MEXC

MEXC is a great option for those who are interested in derivatives trading, offering up to 200x leverage on hundreds of futures contracts. It’s designed for traders who want to maximize gains on short-term positions. The platform also supports a huge range of 800 cryptocurrencies for spot trading, and the interface can be used in several languages.

The platform handles more than $2 billion in daily trading volume and has over 10 million users worldwide. MEXC also supports a variety of altcoins and has spot, margin, and futures trading options. You can even earn passive income with staking and yield farming features. Their mobile app is user-friendly, so you can trade on the go without any hassle.

• Fees: Maker fees from 0.02% to 0.06% and taker fees between 0.06% and 0.08% for futures.
• Supported Assets: Over 800 cryptocurrencies.
• Regulation & Licensing: Maintains an Estonian license and is available to Nigerian investors.‍
• NGN Deposit Methods: Credit and debit cards.

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3. Gate.io

Gate.io is your go-to exchange if you're looking for a diverse selection of cryptocurrencies. With over 2,100 digital assets, it’s perfect for anyone wanting to explore altcoins beyond just Bitcoin and Ethereum. It also offers spot and futures trading, along with other advanced features like margin trading and liquidity mining.

The platform enriches the trading experience with features like automated trading bots, copy trading services, leveraged tokens, and a startup section that hosts initiatives like Gate Wealth Wednesday. It also specialises in staking, giving Nigerian investors access to nine different yield-earning options with APY up to 499%.

• Fees: 0.1% for maker orders and 0.2% for taker orders.
• Supported Assets: Over 2,100 digital assets.
• Regulation & Licensing: Regulated globally and accessible from Nigeria.
• NGN Deposit Methods: Bank transfers, credit cards, debit cards and Apple Pay.

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4. Luno

Luno is one of the leading exchanges in Africa and a favorite for many local traders as it supports direct NGN deposits from Nigerian bank accounts. It’s super easy to use and supports 20 cryptocurrencies like Bitcoin, Ethereum, and Ripple. Luno’s big draw is its user-friendly design, making it a perfect choice for beginners looking to get started with crypto.

As an African exchange, it can be used in several regional languages and has a tailored interface for Nigerian investors and traders. Luno also offers a built-in wallet for secure storage, recurring buys to automate your purchases, and strong security features like two-factor authentication and cold storage. 

• Fees: A 2% fee for fiat-to-crypto trades and 1% for crypto-to-crypto transactions.
• Supported Assets: 20 cryptocurrencies.
• Regulation & Licensing: Fully registered with the NFIU and committed to high compliance standards.‍
• NGN Deposit Methods: Vouchers (bank transfers).

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5. KuCoin

KuCoin is a great platform for beginners in Nigeria, offering a wide variety of cryptocurrencies with a simple interface. You get access to over 700 coins, and the platform offers low fees, which is ideal for those just getting started. It supports spot, margin, and futures trading, and has additional features like staking and lending to help you earn passive income.

Aside from crypto, KuCoin gives users access to Web3 products and services through its native blockchain, KCC Chain. This allows users to get exposure to NFTs with its in-built marketplace that supports popular projects like BAYC, which they can store on the Halo Wallet. For newbies, KuCoin provides educational resources, a demo account for practice, and a mobile app.

• Fees: Spot trading starts at 0.1%, and derivatives has a maker/taker rebate of 0.02%/0.06%
• Supported Assets: More than 700 cryptocurrencies.
• Regulation & Licensing: Operates globally and is available in Nigeria.
• NGN Deposit Methods: Bank transfers and credit cards.

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Is Crypto Regulated in Nigeria?

Yes, crypto is regulated in Nigeria, and the landscape has been changing fast. In late 2023, the Central Bank lifted its ban on banks working with crypto businesses, marking a shift toward a more open approach. By January 2024, new guidelines allowed banks to manage crypto accounts under clear rules. 

The Nigerian Securities and Exchange Commission (SEC) also softened its stance, paving the way for exchanges to operate within a regulated framework. Despite these changes, P2P trading remains the go-to method for most users. Regulations are tightening to tackle issues like money laundering and fraud, but Nigeria’s crypto market remains one of the largest globally.

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How is Crypto Taxed in Nigeria?

Gains from cryptocurrencies are taxed under a new law introduced by the Buhari-led government as part of amendments to the 2022 Finance Act. This legislation imposes a 10% tax on profits from digital assets. The Capital Gains Tax Act was amended to include “digital assets” after “debt,” broadening the scope of taxable assets to include cryptocurrencies, NFTs and other tokenized assets. 

Similar to the treatment of other tangible assets like real estate, the specific tax obligations related to cryptocurrencies can vary. For this reason, it is recommended that anyone involved in digital asset trading or investing stay informed about the latest tax regulations and seek professional advice if needed. 

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How to Buy Bitcoin in Nigeria

If you’re new to cryptocurrency in Nigeria, buying Bitcoin is a simple process. Here’s a quick guide to help you get started:

1. Set Up an Account: Choose a reliable crypto exchange that supports Nigerian Naira (NGN) deposits. Sign up and complete the necessary ID verification by uploading documents like a government-issued ID and proof of address.
2. Deposit Nigerian Naira: Once your account is verified, navigate to the deposit section, select NGN, and enter the amount you wish to invest. Most exchanges offer options like bank transfers, debit cards, or even mobile payment methods.
3. Find Bitcoin: Head over to the trading section and search for Bitcoin (BTC). You’ll see the current NGN/BTC exchange rate. You can either place a market order for immediate purchase or a limit order to buy when Bitcoin reaches a certain price.
4. Complete Your Purchase: Review the transaction details, including any fees, and click 'buy' to confirm.

With these steps, you're ready to start your Bitcoin journey in Nigeria's thriving crypto market.

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Bottom Line

In conclusion, Nigeria's crypto market thrives despite regulatory changes, with millions of citizens actively trading and investing in digital assets. Exchanges like Bybit, MEXC, Gate.io, Luno, and KuCoin offer a variety of features that cater to both beginners and experienced traders, from high-leverage options to diverse asset selections and user-friendly platforms.