By Lawal Adenike
The Central Bank of Nigeria, on Monday, launched a website for eNaira, the county’s first digital currency ahead of its official kickoff billed for October 1.
According to the website, www.enaira.com, “eNaira is a Central bank issued digital currency that provides a unique form of money denominated in Naira.”
Here are eight things you should know about the eNaira and how it works.
1) eNaira is a Central Bank Digital Currency (CBDC) issued by the CBN as a legal tender. It is a digital form of Naira and will be used just like cash.
2) eNaira serves as both a medium of exchange and a store of value, offering better payment prospects in retail transactions when compared to cash payments. eNaira has an exclusive operational structure that is both remarkable and nothing like other forms of central bank money.
3) eNaira wallet is a digital storage that holds the eNaira which is held and managed on a distributed ledger. The eNaira wallet is used to access, hold and use eNaira.
4) The eNaira system uses a two factor authentication system in addition to cryptographic encryption to ensure the safety of the eNaira holdings and the customer’s wallet.
5) To create an eNaira wallet for smart phone users, download the eNaira app (speed) either on Google PlayStore or Apple Store and complete the registration process. For feature phone users, utilize USSD codes and follow the registration prompt.
6) The eNaira app allows customers to identify a bank of their choice and Connect to their bank account to perform transactions.
7) eNaira is different from money in bank account. eNaira is a direct liability on the CBN. It is a digital form of cash and the customer deposits are direct liability on the financial institution.
8) There are different tiers of eNaira wallet you can open as an individual depending on the requirements.
