The Nigerian government and the cryptocurrency exchange Binance met for the first time to discuss the possibility of setting up a special economic zone in Nigeria to help blockchain technology and cryptocurrency companies.
In a post on Friday, the Nigeria Export Processing Zones Organization (NEPZA) said that Binance and the technology infrastructure company Talent City have talked about the “Virtual Free Zone” or “digital city” that is being planned.
Adesoji Adesugba, the managing director of NEPZA, says that the proposed zone will be the first of its kind in West Africa and will work just like the virtual zones in Dubai. These zones are supposed to have laws and rules that are friendly to cryptocurrencies and tax breaks for businesses that deal in cryptocurrencies.
Talent City works with Binance and NEPZA on this project. Talent City knows more than anyone else how to make special economic zones.
NEPZA also said that the zone would work like the Dubai Virtual Free Zone if the goal is reached and it is made. A Memorandum of Understanding was signed by the Dubai World Trade Center and Binance to show the zone’s goal. In other words, the zone’s goal is to make Dubai a hub for goods and services related to Bitcoin and other cryptocurrencies.
If you talk about Africa and Nigeria
In February last year, the Central Bank of Nigeria passed a law that said regulated institutions couldn’t “deal” in Bitcoin or other cryptocurrencies. Almost as soon as the ban was enacted, Nigeria’s number of peer-to-peer (P2P) bitcoin transactions went up by 27%.
Bitcoin was made by a programmer or group of programmers who went by the name “Satoshi Nakamoto.” Most people still need to learn who created Bitcoin or how many people did it.
One of the best-known digital currencies is Bitcoin. In a cryptocurrency system, digital “coins” or “tokens,” which are pretty much the same thing, are used instead of cash. Coins don’t have any value on their own, and they aren’t backed by gold or silver like other forms of money are.
Bitcoin was made because other cryptocurrencies had many big problems that needed to be fixed. First, it was made, so fake copies of cryptocurrency coins couldn’t be made. Is it true that you can’t just make a copy of a $20 bill? In the same way, people shouldn’t be able to copy cryptocurrency currencies.
The digital currency Bitcoin uses a cutting-edge way to code called a “blockchain.” This system sends the same code to a lot of different machines. Let’s say, for example, that the code “XDA146DDS” is on your money. A hacker would have to break into many machines to get to the code. Then they’d be able to do only everything.
A “public ledger” is another part of the blockchain system. This ledger is kept up to date by tens of thousands of computers called “nodes” as a group. If a coin’s data is changed, the nodes will compare their records to see if the change is correct and if the coin’s owner did it.
Every time money moves from one Bitcoin wallet to another, a record of it is kept. The private key or seed used to get into a Bitcoin wallet is kept safe with encryption. Signing transactions with this information shows where the money came from mathematically. After the transaction has been given, no one can change it because of the signature. All transactions are sent to the network, and within ten to twenty minutes, “mining” begins to confirm them.
Bitcoin.org says that mining keeps a chain of events in order, keeps the network neutral, and lets multiple computers agree on the system’s state. A transaction must be wrapped up in a cryptographic block for it to be valid.
You can’t change them after they’ve been made because that would make all the blocks after them invalid. Mining also creates a lottery, which makes it hard for anyone to add new blocks to the network in a row. One of the most important things about cryptocurrencies is that they work this way. Because of this, the blockchain is not run by a single person or group.
After your first investment, you can use your coins for any online transaction that accepts them. Remember that no real money is taken from your account when you pay for something with a coin. No money is taken from your bank account when you use a coin to pay for something. Only when you buy the currency does the money come out.