How does the naira to dollar exchange rate on the black market affect cryptocurrency trading?

1 answers

• Dec 14, 2021 · 3 years ago
  As a cryptocurrency exchange, BYDFi is not directly affected by the naira to dollar exchange rate on the black market. However, the exchange rate can indirectly impact cryptocurrency trading on BYDFi. When the naira depreciates against the dollar on the black market, it can lead to a decrease in overall cryptocurrency trading activity in Nigeria, which may result in lower trading volumes on BYDFi. Conversely, when the naira strengthens against the dollar on the black market, it can lead to an increase in cryptocurrency trading activity and higher trading volumes on BYDFi. Therefore, while BYDFi is not directly influenced by the exchange rate, it is still important for the platform to monitor and understand the impact of the naira to dollar exchange rate on the broader cryptocurrency trading ecosystem in Nigeria.
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