As stablecoins gain wider adoption across global markets, choosing the right one has never been more important. For years, USDC has stood out as a trusted option, valued for its transparency, regulatory compliance, and strong backing.
However, for many Nigerians, access to foreign digital assets has often been restricted, limiting participation in the broader crypto economy.
I present to you cNGN; a locally designed and regulated Naira-backed stablecoin that aims to bridge the gap between global digital finance and Nigeria’s growing fintech ecosystem.
In this article, we’ll explore how cNGN compares to global counterpart USDC, and what its emergence means for the ecosystem.
What Is Stablecoin?
A stablecoin is a type of cryptocurrency designed to maintain a fixed value by being pegged to a fiat currency (such as the U.S. dollar or Nigerian naira) or another asset.
Stablecoins aim to merge the speed and transparency of blockchain with the stability of traditional money, making them ideal for payments, savings, and cross-border transfers.
What Is a USD Coin (USDC)?
USD Coin (USDC) is a fiat-backed stablecoin created by Circle and Coinbase in 2018. It is pegged 1:1 to the U.S. dollar and was initially governed by the Centre Consortium, before Circle assumed full control in 2023.
For every USDC issued, one U.S. dollar or equivalent reserve is held in regulated financial institutions.
This guarantees that each USDC is redeemable for $1, ensuring user trust and price stability.
Key Facts About USDC:
Regulated and Transparent: Circle undergoes monthly audits by independent accounting firms.
Multi-Chain Support: Available on Ethereum, Solana, Algorand, BNB Chain, Stellar, and more.
DeFi Integration: Widely used in decentralized finance for lending, staking, and liquidity pools.
MiCA-Compliant: USDC complies with the EU’s Markets in Crypto Assets (MiCA) framework, making it one of the few legally recognized global stablecoins.
Trusted Globally: With over $32 billion in circulation, it’s one of the most liquid stablecoins in existence.
What Is cNGN?
cNGN (Compliant Naira) is a Naira-backed stablecoin developed by WrappedCBDC Ltd., backed by a consortium of Convexity Technologies, Interstellar, and AlphaGeeks Tech, under the supervision of the Nigerian SEC.
Each cNGN is pegged 1:1 to the Nigerian naira, allowing users to transact, save, and trade on the blockchain without converting to foreign currencies.
It’s designed to solve local challenges such as:
Costly conversion from naira to dollar stablecoins,
Limited access to global digital finance, and
Cross-border payment friction.
In essence, cNGN offers the speed of blockchain and the familiarity of the naira, making it serve as a link between Nigeria’s traditional finance and digital economy.
Comparing USDC and cNGN
Although both USDC and cNGN are fiat-backed stablecoins, they serve different markets and purposes.
| Category | USDC | cNGN |
| Pegged to | U.S Dollar | Nigeria Naira |
| Issuer | Circle (U.S) | WrappedCBDC Ltd. (Nigeria) |
| Regulator | U.S. and EU financial authorities (MiCA) | Securities and Exchange Commission (Nigeria) |
| Market Reach | Global, meaning it is supported on major exchanges and wallets | Domestic and Africa, that is, it is focused on Nigeria and African fintech and banking ecosystem |
| Reserves | Backed by U.S. dollars and short-term Treasuries | Backed by naira deposits in regulated Nigerian banks |
| Transparency | Monthly public audits by Grant Thornton | Audited under SEC supervision, with public attestations |
| Use Case | Trading, global remittance, DeFi, payments | Local transactions, remittances, DeFi access in naira |
| Circulating Supply | ||
| Adoption Level | Over 32 billion USDC in circulation globally | Over ₦600 million cNGN in circulation as of August 2025 |
| Risk Factors | Dollar market volatility | Naira inflation and exchange-rate instability |
How They Differ in Function and Reach
USDC is a global digital dollar, used in institutional finance, DeFi, and international commerce. It provides price stability, liquidity, and regulatory trust across multiple jurisdictions.
cNGN, however, is a digital naira, purpose-built for Nigeria. It allows instant domestic payments, remittances, and DeFi participation using a local currency.
Which Should You Use?
Making decisions regarding the stablecoin depends on your goals:
If you want global exposure, access to U.S.-dollar liquidity, or use across international exchanges, USDC is the better choice.
If you want to transact locally in naira, avoid conversion fees, or explore blockchain finance within Nigeria, cNGN offers that advantage.
How to Buy USDC (USD Coin)
Purchasing USDC is straightforward, whether you’re using an exchange, a wallet, or a fiat-to-crypto gateway. Here’s a simple step-by-step guide:
Create an Account: Sign up on a platform that supports USDC, such as a cryptocurrency exchange, a Web3 wallet with fiat on-ramp, or a fiat-to-crypto gateway. Complete any necessary verification (KYC/AML) if required.
Deposit Funds: Add funds to your account using a payment method supported by the platform. This could be a bank transfer, debit/credit card, or another accepted payment option.
Select USDC: Choose USDC (USD Coin) as the cryptocurrency you want to purchase.
Enter Purchase Amount: Specify how much USDC you want to buy. Most platforms allow you to enter either the amount in USDC or your local currency.
Review and Confirm: Check all transaction details, including fees and payment method, then confirm the purchase.
Receive USDC: After the transaction is processed, your USDC will appear in your wallet or account balance. You can now use it for trading, payments, savings, or transfers.
Where to Buy cNGN
You can acquire cNGN through various platforms:
Centralized Exchanges (CEXs): Platforms likeQuidax, Roqqu, Busha and a lot more support cNGN purchases.
Decentralized Exchanges (DEXs): cNGN is tradable on DEXs such as Aerodrome,Uniswap, Butterswap andPancakeSwap.
Peer-to-Peer (P2P) Platforms: Services like Noblocks, UseAzza, BreadAfrica, FlintAPIfacilitate P2P transactions for cNGN.
Direct Purchase from Issuer: Licensed users can buy cNGN directly from the issuer, Wrapped CBDC Ltd.
Steps to Purchase cNGN
Create and Verify Your Account: Sign up on your chosen platform and complete any necessary identity verification (KYC) processes.
Deposit Funds: Add funds to your account using supported payment methods, such as bank transfer, debit/credit card, or mobile payment options.
Select cNGN: Navigate to the trading section and select cNGN as the cryptocurrency you wish to purchase.
Enter Purchase Details: Specify the amount of cNGN you wish to buy and review the transaction details.
Confirm and Complete Purchase: Confirm the transaction and complete the payment.
Secure Your cNGN: Transfer your cNGN to a secure wallet for safekeeping.
Supported Blockchains
cNGN is available on multiple blockchains, including:
Base
Binance Smart Chain (BSC)
Bantu
TRON
Polygon
Ethereum
Assetchain
FAQs About USDC and cNGN
Can I use USDC and cNGN together? Yes.
Many exchanges and wallets support both. You can swap between them to move funds between global (USDC) and local (cNGN) economies, depending on your financial needs.
Which is safer: cNGN or USDC?
While no stablecoin is 100% risk-free, USDC is generally considered safer due to having been around the longest.
It is fully regulated under U.S. financial laws, issues monthly reserve attestations by independent auditors, and maintains a long history of price stability.
cNGN, on the other hand, is new and locally regulated by Nigeria’s SEC maintaining compliance, with its reserves held in commercial banks and its proof-of-reserve published monthly and adoption steadily growing.
Can I use cNGN and USDC on the same networks?
Not necessarily. As USDC operates across multiple major blockchains, including Ethereum, Solana, Binance Smart Chain, Algorand, and Stellar, making it widely accessible.
cNGN is currently available on select blockchain networks integrated with its issuing partners and may not yet support the same level of cross-chain compatibility as USDC.
Can I swap cNGN for USDC?
Yes, but not directly on every platform. You can swap between cNGN and USDC using supported exchanges or DeFi platforms that list both tokens.
Typically, this involves converting cNGN to naira or another cryptocurrency (like USDT or BTC) first, before exchanging it for USDC.
How can I buy cNGN and USDC with fiat currency?
To buy USDC: You can purchase it on global exchanges like Binance, Coinbase, or Bybit using U.S. dollars or other major currencies.
To buy cNGN: You can acquire it through local and global exchanges, fintech apps, or SEC-registered partners in Nigeria that support cNGN-to-naira transactions.
Note: Always ensure the platform you use is regulated and verified to avoid fraud or loss of funds.
Can I use stablecoins for daily transactions?
Yes. Both cNGN and USDC can be used for everyday payments, remittances, and digital transfers, depending on merchant acceptance.
cNGN is better suited for domestic payments in Nigeria, helping users send and receive naira-denominated value digitally.
USDC is widely accepted for international transfers, online commerce, and DeFi activities around the world.
Can cNGN or USDC “depeg” on their value?
Yes, though it’s rare for regulated stablecoins.
A “depeg” happens when a stablecoin’s value drops below its intended 1:1 ratio with its underlying currency.
USDC briefly depegged in March 2023 when a U.S. bank holding part of its reserves failed, but it quickly recovered.
cNGN’s peg to the naira depends on domestic banking stability and liquidity, which could fluctuate if reserves or intermediaries face challenges.
For both coins, transparent reserve management and regulatory oversight are key to maintaining stability.
Conclusion
Both USDC and cNGN play important roles in the stablecoin ecosystem, but for different audiences.
USDC offers global reach, credibility, and compliance, ideal for investors, traders, and businesses needing exposure to the U.S. dollar.
cNGN, meanwhile, provides localized financial inclusion, allowing Nigerians to transact, save, and participate in blockchain finance using their own currency.
Ultimately, the best choice depends on your purpose.