LINK - a web3 crossborder payment infrastructure for Africa issued a Naira-backed stablecoin ‘NGNC’ which is pegged 1:1 to the Nigerian Naira with reserves held in custody at regulated authorities in Nigeria. NGNC is transferable on the Polygon and Avalanche blockchain as an ERC-20 standard token.
This is a proposal to create and add a NGNC/USDC to the “Ethernet Pools” offered by DFX, and to incentivize that pool.
There are two options on which to vote:
Option 1: YES – Create a NGNC/USDC pool and allocate rewards to the pool.
Option 2: NO – Do not create a NGNC/USDC pool.
Because DFX’s mission is to bring stablecoins to the world, it is only appropriate that NGNC be available on the DFX protocol. NGNC is expected to quickly become one of the most traded foreign stablecoin in Africa and the world.
• Nigerian Naira is the official currency of the Federal Republic of Nigeria.
• Nigerian Naira is abbreviated as NGN.
• The population of Nigeria Is an estimated 218.5 million with most of the population (55%) between 15 – 65years.
• Nearly 35% of the adult population have used or currently own crypto assets, bringing the total crypto users to an estimated 40 million Nigerians.
• In 2021, Nigeria was said to be the nation with the highest ownership of BTC, (32% of the adult population owned BTC) amidst harsh regulations from the government leaving the citizens with no direct bridge into DeFi.
• 8 months into 2022, Nigerians have traded $1B in Crypto with no access to on/off ramps and identity of their currency on the blockchain.
• The world is changing, non-USD stablecoins are on the rise, LINK intends to bridge our country to the market in the next wave of global finance by teaming up with DFX Finance, the leading crypto FX trading protocol.
• Although the number of crypto users is high, Nigeria operates a stringent p2p system to on/off ramp crypto, which has resulted in a hike in prices and exchange rates.
• The current traditional infrastructure and even crypto infrastructure that exists under such high demand are still very fragmented, resulting in low Fx liquidity, and self-prescribed multiple exchange rates.
• LINK offers the perfect on/off ramp platform to millions of crypto-friendly Nigerians to use NGNC.
• Building out the currency pairs on DFX supports and increases the utility of the protocol.
• NGNC is on its way to becoming the first regulated Naira-backed stablecoin
NGNC - NGN Coin (NGNC) | Fully Reserved Fiat-Backed Stablecoin
• NGNC is a stablecoin pegged 1:1 to the highest crypto holders and user nation in africa.
• The utility of DFX increases as more asset pairs are tradeable.
• LINK is providing the major fiat on/off ramp solution offered to the fast-growing Nigerian market
• Will allow Nigerian users to access DFX directly and potentially onboard millions of users who wish to easily execute Forex transactions and access deep on-chain liquidity.
• The utility of DFX increases as more assets pairs are tradeable.
• NGNC will bring legitimacy to the field of foreign stablecoins. Being that DFX’s slogan is “Stablecoins for the World,” it is only fitting that the soon to-be Africa’s largest stablecoin has a proper home right here on the DFX protocol.
• DFX will not get direct access to the largest crypto hub in Africa and globally.
• NGNC is a new stablecoin (supply is expected to 20x once on/off ramps go live on Polygon in late November/Early December)
• DFX will not have one of the fastest-growing non-USD stablecoins on its platform.