CBN States Transfer Limits As E-Naira Takes Off October 1

In preparation for the Lunch of its digital currency on October 1, the Central Bank of Nigeria has set an initial transaction limit of N50,000 for non-account transactions.

The CBN stipulated a transaction limit for customers, non-interest-bearing Central Bank Digital Currency (CBDC) status, and an account value limit in a handbook published by the apex bank to deposit money banks.

The CBN “Speed wallet” was released in three levels in order to meet the October 1st deadline.

The wallet does not compete with existing banks as a way of transacting value, but it is anticipating the introduction of wallets by banks and other innovators.

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Tier 1:
Anyone who does not have a bank account can use the basic layer of Speed Wallet. Users must, however, provide a passport photo, their name, birth date and location, a phone number, and their address.

The “Send & Receive” feature has a limit of N50,000. The individual’s National Identity Number (NIN), which will be validated, is the bare minimum required. Every day, a total balance of N300,000 is fixed.

Tier 2:
Tier Two wallets require users to have an existing bank account.

The user can only send and receive N200,000 per day, with a daily cumulative balance of N500,000. This level requires a minimum of a Bank Verification Number (BVN).

Tier 3:
Three-tiered system
Tier three permits N1 million in daily transactions and N5 million in daily cumulative balances. To be considered, you must have at least a BVN.

This merchant level allows you to send and receive a million naira every day. A merchant has complete control over how much money they deposit into their bank accounts.

However, neither retailers nor customers utilizing the wallet would be charged a fee, according to the Central Bank.

According to the study, the e-Naira is a legal tender throughout the country. It will also have a non-interest-bearing CBDC status, a transaction limit for clients, and a value-based transaction limit, according to the company.

Nigerian banks would be able to ask all of their customers to register for the e-Naira, according to the CBN.

“In addition to pre-generated codes, banks can issue onboarding invitation codes to a specified list of customers. Customers who have been assigned a code by their banks will be onboarded. These customers have previously been confirmed and approved by the banks.”

It further stated that the wallet offered by its institution was only a stopgap measure to fulfill the deadline, as banks and other licensed operators are free to provide their own wallets, and that it did not want to compete with banks.