Cryptocurrency wallet service Coinbase now offers in-app peer-to-peer transactions for buying digital assets using local currencies.
Coinbase Wallet, a leading self-custodial cryptocurrency wallet, has partnered with Onboard Global to improve cryptocurrency purchasing for Nigerian users. This partnership aims to increase access to crypto within regulatory limits, addressing the challenges faced by Africans in converting fiat to crypto.
The rollout of a fiat onramp feature in Nigeria marks the beginning of Coinbase's expansion into Kenya and over 50 other countries in the next 12 months. Onboard provides a peer-to-peer service for the crypto purchases, acting as an escrow between the buyer and the agent.
In the past, crypto-to-fiat conversion has been a challenge for Nigerians due to limited, complex options. However, with the integration of Onboard's P2P service, Nigerian users can now deposit their local currencies to make a purchase and receive the cryptocurrency equivalent in as little as five minutes, according to Coinbase Wallet.
Onboard is inviting individuals in these countries to sign up as agents to facilitate transactions. For transactions under $100, Nigerians can buy crypto on Coinbase Wallet without Know Your Customer (KYC) procedures.
Forex and central bank restrictions in Nigeria made card purchases for crypto nearly impossible, forcing users to rely on P2P exchanges. The lack of options led users to resort to complex workarounds or over-the-counter vendors to convert naira into crypto.
The government crackdown on major P2P platforms like Binance and KuCoin in early 2024 made crypto access even harder. This partnership between Coinbase Wallet and Onboard Global aims to provide a more secure and accessible solution.
Users can select their desired crypto assets to purchase on Coinbase Wallet and get matched with Onboard agents in the region. Coinbase Wallet will facilitate crypto purchases, with Onboard handling verification and providing a secure P2P exchange platform.
Prior to this partnership, Coinbase Wallet integrated Yellow Card's payment infrastructure to allow its African users to buy bitcoin and USDC via the wallet. This latest partnership allows Nigerian users to buy a wider range of crypto assets on Coinbase's self-custodial wallet.
This partnership significantly improves cryptocurrency purchasing for Nigerian users by enabling seamless fiat-to-crypto on-ramps that are localized and accessible despite Nigeria's regulatory challenges. Onboard Global, as a major African fintech focused on stablecoin on- and off-ramps, works closely with platforms like Yellow Card in Nigeria to provide secure, cost-effective purchasing of stablecoins (e.g., USDT, USDC) directly with local currency.
This cooperation empowers Nigerian users to buy crypto more conveniently and securely without relying solely on direct bank transfers, which are subject to regulatory constraints. With this partnership, Coinbase Wallet and Onboard Global are making strides in increasing access to cryptocurrency within regulatory limits, providing a more secure and accessible solution for Nigerian users.
- The partnership between Coinbase Wallet and Onboard Global targets addressing challenges faced by Nigerians in Africa by increasing crypto access and facilitating fiat-to-crypto purchases within regulatory limits.
- Onboard Global's peer-to-peer service is integrated into Coinbase Wallet, enabling Nigerian users to buy various crypto assets via their local currencies in as little as five minutes.
- Onboard invites individuals in multiple countries to sign up as agents, facilitating transactions and providing a secure P2P exchange platform for fiat-to-crypto conversions.
- The rollout of this service in Nigeria is Coinbase's first step towards expanding into Kenya and over 50 other countries in the next 12 months, focused on improving access to cryptocurrencies and finance technology.
- In the past, Nigerian users have faced complex challenges when converting their naira into crypto, relying on over-the-counter vendors or complex workarounds, but this partnershipaims to offer a secure and accessible solution.
- The integration of Onboard's P2P service into Coinbase Wallet offers a more streamlined option compared to traditional forex and central bank restrictions, making card purchases unnecessary and providing a more reliable alternative for Nigerian users.
