For much of 2022, the Central Bank of Nigeria (CBN) has been in the headlines for its anti-cryptocurrency measures. Still, the institution has this week redoubled its investment and research into crypto's underlying technology, blockchain, and has set a clear engagement for the airplane pilot scheme of its blockchain-powered primal banking concern digital currency (CBDC).

On Oct. 1, CBN will reportedly launch a pilot scheme for "GIANT," a CBDC project in development since 2022 that runs on the open up-source blockchain Hyperledger Fabric.

Rakiya Mohammed, CBN's data applied science director, said the bank might conduct a proof-of-concept before the end of 2022. In a webinar this week with stakeholders, CBN representatives reportedly emphasized that the establishment could not afford to be left behind while the vast majority of key banks worldwide brand headway with their own CBDC enquiry and development.

Amongst the motivations cited for the project, CBN has noted that a CBDC would exist beneficial for macro and growth management, cross-edge trade support and financial inclusion.

Potential benefits could still extend farther, in CBN's view, ranging from college efficiency for payments and remittances, better monetary policy transmission, improved tax revenue collection, and the facilitation of targeted social policies.

Related: Nigeria's comms minister links blockchain to national digital innovation efforts

Aslope CBN, the Bank of Ghana has this summer been moving rapidly toward the pilot phase for its own primal bank digital currency. The country has positioned itself as a pioneer in CBDC development on the continent and considers central banking concern-issued digital currencies to be superior to and less risky than decentralized cryptocurrencies.

However, Ghana'due south wariness of crypto is overshadowed by Nigeria's more aggressive measures, which include a ban on commercial banks and other financial institutions from servicing crypto exchanges. Despite this, Bitcoin (BTC) adoption and peer-to-peer trades have remained high in the country.