If you want a long-term approach to earning through Bitcoin, knowing how to invest in Bitcoin in Nigeria is essential. Ultimately, you’ll want to deeply understand how to invest in Bitcoin and make money, just like how you treat investing in any other asset.

To answer the question: how can I invest in bitcoin in Nigeria, we’ll discuss some of the top countries that invest in Bitcoin, how to invest in Bitcoin for beginners, and how much to invest in Bitcoin to make money.

How to Invest in Bitcoin in Nigeria?

Here’s a step-by-step guide on investing in Bitcoin Nigeria through our recommended trading platform, Capital.

Step 1: Open an Account with Binance

67% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

Here is how to invest in Bitcoin with Binance. First, head to the Binance website and click on the Trade Now button. Then, fill in an email and password to apply. If you have an existing Facebook, Google, or Apple account, you may link it to start the registration process.

Step 2: Upload ID

Unverified accounts in Binance won’t be able to hold any funds, so you’ll need to upload a valid ID to have your account properly verified. IDs such as a driver’s license or passport will suffice.

Step 3: Deposit Funds

With your account now verified with Binance, there are multiple deposit options from wire transfer, bank cards like Visa and MasterCard, and other e-payment methods like PayPal. If you’re wondering: how much can I invest in Bitcoin on Binance, the minimum amount to invest in Bitcoin on the platform is just US$1 per position.

Step 4: Buy Cryptos

With your account now funded, you can now invest in Bitcoin! First, on the Binance dashboard, search for BTC or Bitcoin. Then, click on the Buy button to open an overview of Bitcoin and buy the Bitcoin CFD.

67% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

Why invest in Bitcoin?

Nigeria is not only one of the top countries that invest in Bitcoin but also one of the top countries that love to invest in Bitcoin. So before we can answer how to invest in Bitcoin and make money, it’s important to understand why so many have invested in the crypto asset.

Bitcoin is Deflationary

If you’re asking: how much will I earn in the long run if I invest $100 in bitcoin today, theoretically, your position should gain in value. However, unlike fiat money which can be printed infinitely, only 21 million bitcoins can ever be mined as this is how it was programmed. 

Because supply is inherently limited for Bitcoin, as demand increases, the asset’s price will increase as well. This makes Bitcoin deflationary, and investors generally want to store value in deflationary assets rather than inflationary ones.

Secure, Transparent, and Decentralised

If you’re wondering how to convince someone to invest in bitcoin, security and decentralisation could be key points. Unfortunately, the problem with today’s currencies is that they are ultimately centrally controlled. Central banks and governments decide how much to print, where to put them, etc.

This means that the money is not in complete control, and we don’t know where every exact unit has gone through or is being spent. On the other hand, Bitcoin makes sure that you securely own the money you have and have total control over it. In a decentralised network like Bitcoin, the data is immutable.

The First of its Kind

Convincing someone might be easy, but how to convince a client to invest in Bitcoin could be a harder task. As an established asset that has been around for more than a decade, Bitcoin is also valuable because it is the first of its kind.

It has been widely accepted through the years as many platforms have found uses for the coin, and many other crypto competitors have arisen to try to use the same technology. So how do you convince a client to invest in Bitcoin? First, bring up its deflationary, decentralised, and first-of-its-kind properties.

Where can you buy Bitcoin in Nigeria?

Don’t get ahead of yourself and ask things like how much can I invest in Bitcoin or how can I invest in Bitcoin in Nigeria right away? The next thing you need to consider when learning how to invest in Bitcoin and make money is to know where you can buy it. Here, we review four different platforms that let you do so and how to invest in Bitcoin in Nigeria.

1. Binance – Best Crypto Exchange for New Coins

Aside from having one of the most popular coins like bitcoin, Binance is one of the best crypto exchanges featuring the latest coins. In addition, Binance is a great place to get into the crypto sphere as they have other crypto investing products such as staking, rewards, and a non-fungible token (NFT) marketplace.

Over 500 cryptocurrencies and virtual tokens are available on the Binance platform so that users can diversify their crypto portfolios. The platform is also well known among the top countries that invest in bitcoin as it is an exchange that allows for the conversion of different tokens. So if you’re asking: how much can I invest in Bitcoin through Binance, you can invest in Bitcoin through different amounts of fiat and cryptocurrencies.

Binance fees

Cryptoassets are speculative and carry high volatility levels. Therefore, always consider the risks involved. 

3. Coinbase - Great Beginner Platform for Crypto Nigeria

Perhaps the best beginner crypto exchange platform is Coinbase, an easy-to-use site that features popular cryptocurrencies that newcomers would be looking into. Aside from the 50 different cryptocurrencies offered, Coinbase combines ease of trading with many educational resources.

For most beginner questions like: how can I invest in Bitcoin in Nigeria, and how to invest in bitcoin and make money if I invest $100 in bitcoin today, you’ll be able to find closely related articles on the platform. A great benefit of using this platform is that all users have access to Coinbase Pro, which has lower fees and more cryptos to trade.

Coinbase fees

 

Your money is at risk.

4. Crypto.com - Fast and Secure Cryptocurrency Exchange

Crypto.com is one of the fastest and most secure crypto exchanges out there. It offers 250 tradable cryptocurrencies and stablecoins, enough to rival many other crypto trading platforms and crypto exchanges. 

If you want to invest in bitcoin derivatives, Crypto.com lets you take on leveraged positions through perpetual and futures contracts that go as high as 1:100. The minimum investment per transaction for Crypto.com is US$1.

Crypto.com fees

Your capital is at risk.

Invest in Bitcoin Nigeria - Fee Comparison

Here is a table of the fees from the best crypto exchanges that you can check out when looking into how to invest in Bitcoin and make money.

What is Blockchain?

Behind the popularity of cryptocurrency as a whole is the underlying technology of blockchain. Learning how to invest in Bitcoin and make money is understanding how blockchain works. In a blockchain, a block is just a collection of data. In Bitcoin specifically, this data are bitcoin transactions known as the distributed ledger. 

There is only a limited number of data stored per block, around 1,500 transactions. So to store more data, more blocks have to be chained together to increase the amount of data held - hence the term “blockchain.” Some of the top countries that invest in bitcoin have many computers for blockchain technology.

One important feature of blockchain is its decentralised nature. The data stored per block is a distributed ledger since all computers in the blockchain hold that information to validate other transactions. As a result, virtually no one entity can input or change the data in the entire blockchain, which is why many countries love to invest in bitcoin.

Knowing this, you might be asking: how can I invest in Bitcoin in Nigeria? Aside from buying the native token bitcoin, you can also mine it. As Bitcoin uses the proof-of-work (PoW) consensus model, time and computing power must be spent solving the hashing function required to add blocks to the network. Accounts that successfully validate transactions are rewarded with bitcoin.

What to know before you buy Bitcoin

Crypto Volatility

Cryptocurrencies, in general, are known in the financial world to be highly volatile assets. This means that prices for cryptocurrencies like Bitcoin fluctuate more than traditional financial instruments. Generally, price volatility does bring about more risk, but with a proper trading strategy, this can also mean more potential to earn. 

Bitcoin will move at least 3 percent daily, but looking at outliers and price movements can be drastic. So if I invest $100 in bitcoin today, I could expect the price to move up or down roughly that amount.

Transactions are Public

The top countries that invest in Bitcoin might understand that all transactions in the network can be viewed publicly. As a decentralised asset, anyone can view Bitcoin transactions. Though it might seem scary to have your bitcoin transactions public, this allows for full transparency as anyone can mine and validate them.

Anonymous Addresses

So even if anyone can view transactions, your Bitcoin wallet address is anonymous. In addition, wallet addresses, letters, and numbers are used in Bitcoin transactions, so your name and other information do not necessarily have to be revealed, unlike for central exchanges.

Bitcoin Price Forecast 2022

67% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

The past couple of months has been bearish for the crypto market as Bitcoin’s price dropped from all-time highs last November at almost US$69,000. At the time of writing, the current price of Bitcoin is around half that amount. So if you’re wondering how to invest in bitcoin and make money in the long run, an option would be to invest now or wait a bit more for the price to dip.

Although technical analysis is not the entire picture and should be used with other information to make a coherent strategy, Bitcoin’s strongest support level is around the US$30,000 level. If the price consolidates near this level, it is possible to see the price retest the US$40,000 range.

Is Bitcoin a Good Investment?

One of the main points in learning how to invest in Bitcoin and make money is that the digital asset is often called ‘digital gold.' Just as many nations have holdings in actual gold, there are a lot of top countries that invest in bitcoin heavily. Investors see Bitcoin as not correlating with other financial markets like stocks.

If you’re thinking: I want to invest in bitcoin through other means, we can show you how to invest in bitcoin in stock market ways. There are bitcoin-linked funds, such as the ProShares Bitcoin Strategy ETF (BITO), an exchange-traded fund that allows gaining exposure to bitcoin.     

Bitcoin vs. Other Investments

With plenty of other financial investments out there, why would you want to learn how to invest in bitcoin and make money? As we mentioned earlier, many investors see no correlation between Bitcoin and other financial markets. This makes it a good investment and hedge when markets are down or in a bearish state.

We can see Bitcoin almost like a crypto index for other kinds of crypto investments as cryptocurrencies follow Bitcoin itself. Although smaller-cap coins like SHIB and LUNA have higher chances of growth, they still follow the movements of Bitcoin itself. Knowing how to invest in Bitcoin and make money is still relevant for those looking to trade other cryptos.

How to Invest in Bitcoin Nigeria - Pros & Cons

Despite Nigeria’s crypto ban that prohibited financial institutions in the country from holding and facilitating the trading of cryptocurrencies, Nigeria remains to be one of the top countries that invest in bitcoin.

Below is a summary of how to invest in Bitcoin Nigeria:

• Register with Binance - Sign up for an account and verify your identity by uploading the necessary documents.
• Use bank cards, wire transfers, and other e-payments available to fund your account.
• Look for the Bitcoin tradable asset on the dashboard.
• With just a minimum of US$1, you can trade Bitcoin after viewing the cryptocurrency and clicking on Buy.

How to Store Your Bitcoin in a Secure Wallet?

67% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

eToro Money Wallet

Our overall recommended platform, eToro, lets you invest in bitcoin through its built-in crypto wallet called the eToro Money Wallet. Furthermore, you can safely transfer your Bitcoin positions from the eToro exchange platform to the crypto wallet. The Bitcoin is completely under your control and safer for holding long-term.

Coinbase Wallet

Another great wallet for storing bitcoin is the Coinbase Wallet, a mobile application that offers support for over 4,000 crypto assets and decentralised apps (dApps). Users can explore the decentralized web through the Coinbase Wallet while enjoying industry-leading security. 

Binance Exchange Wallet

The official crypto wallet for Binance is the Trust Wallet, a mobile app available for iOS and Android. The Binance Trust Wallet is like the Coinbase Wallet, wherein users have access to dApps, staking services, and other crypto features that allow for earning passive income through crypto-assets.

Compare Nigerian Bitcoin Exchanges

Is Bitcoin Mining a Better Investment?

When it comes to investing in Bitcoin and making money through mining, some of the things to consider are computational power, electricity costs, and even timing. It takes a lot of energy and power to mine bitcoin these days, so doing it on a small scale will require proper cost calculations.

Is Bitcoin Staking a Better Investment?

Only coins built on the proof-of-stake (PoS) model can be staked to earn. Coins like Cardano (ADA) and Solana (SOL) can be staked, whereas Bitcoin cannot as it runs on the PoW consensus model.

Taxes and Regulations Regarding Bitcoin in Nigeria

Last year, the Central Bank of Nigeria prohibited financial institutions from facilitating crypto trading and holding. Although this did not greatly affect the crypto market in the country, this is the only real regulation regarding the token. No tax laws or other legal frameworks have been developed for those learning how to invest in bitcoin and make money.

Conclusion

Answering questions like: how can I invest in Bitcoin in Nigeria and how much can I invest in Bitcoin can only be answered by the investors themselves. We can only provide the information already established in terms of past prices and Bitcoin’s design.

If you want to invest in Bitcoin in Nigeria, click on the link below and start investing in crypto with Binance!

Binance – Buy Bitcoin in Nigeria

67% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

FAQs

How much to invest in Bitcoin?

The amount that’s required to invest in Bitcoin depends on how much capital you are willing to place away for crypto. Many platforms don’t require high amounts of capital to start investing in crypto. In Binance, for example, you can open a Bitcoin position with a minimum of US$1.

How many people are investing in Bitcoin?

With a current market cap of $724 billion and reaching a peak of $1 trillion back in 2021, there are an estimated 79 million unique Bitcoin wallets.

How to learn to invest in Bitcoin?

There are many ways to learn how to invest in Bitcoin. Some crypto trading platforms like Binance have beginner-friendly guides to get started. Other platforms even offer free trading courses and other educational resources and seminars.

How to invest in Bitcoin ETF?

Even if your broker does not offer Bitcoin trading, you can still invest in the price action of Bitcoin via a Bitcoin ETF. Check if your broker has the Bitcoin ETF or other crypto ETFs available such as the BITO.

Are banks investing in Bitcoin?

Yes, many major institutions have invested quite heavily in Bitcoin. Big names like Standard Chartered and Morgan Stanley have invested in Bitcoin and other cryptocurrencies.

What is the best crypto to invest in?

Ultimately, the best crypto to invest in will depend on your time frame and overall attitude to the digital asset. Generally, users looking to invest long term would look to huge names like Bitcoin and Ethereum for their crypto investments. Others look to more niche crypto to invest in that promises to offer tons of value in the future.