Asset Chaina Nigerian blockchain infrastructure company, has launched its eponymous blockchain, a Layer-1 (L1) network built to provide a safer and faster way for Nigerians to trade digital assets and real-world assets–like property or commodities–directly with each other, without relying on middlemen or traditional banks.
This launch introduces a decentralised exchange (DEX), where users can trade USDT, Tether’s dollar-backed stablecoin, and cNGN – a Naira backed stablecoin. The company claims its DEX is “gasless,” which means users don’t pay transaction fees.
“Traders can buy USDT using cNGN instantly and without speaking to anyone. Also, traders don’t pay gas fees. Asset Chain is sponsored (free) by Ugochukwu Aroni, the CEO and co-founder of the company.
Nigerian crypto market In 2024, will account for $59 billion of transactions. These transactions are largely carried out on peer-to–peer (P2P), which is often untraceable because of its informal nature. Asset Chain is targeting the P2P market to solve issues like fraud.
Asset Chain’s DEX uses smart contract technology to automate trades. This means that buyers and sellers no longer have to rely on each other or a third-party to complete the exchange. The smart contract matches buyers and sellers based on pre-set criteria. It then completes the trade automatically.
The DEX platform currently has 200 traders and liquidity providers, and the company reports that hundreds more users have expressed interest. Asset Chain aims to reach N100 billion ($65million) in trading volume in its first 60-days.
A spokesperson for Asset Chain told TechCabal the platform was designed to be easy-to-use and “offers an experience similar to popular P2P Exchanges, but with added privacy and security to ensure users control their funds.” Invite-onlyis a system that the company says was created to ensure only serious users joined at first, to provide liquidity and to test the system before it was opened to everyone.
“It’s invite-only not because the blockchain’s performance has already been [tested and] confirmed. Aronu stated that it can handle more than 20,000 transactions per minute.
Asset Chain wants to keep payment value in Nigeria and Africa rather than sending it overseas. By staking or adding to liquid pools, people can add their cryptocurrencies or stablecoins to decentralised finance apps on blockchains such as Base, Solana or Ethereum. The value of these assets is then counted in total value locked (TVL). TVL is a measure of how much money has been invested in these apps. When it increases, it attracts more users and liquidity providers.
Aronu said, “Nearly nothing comes to Nigeria and it must be changed.” “We cannot continue to contribute to other blockchains or platforms without receiving any value in return.” We need our own infrastructure to capture and attract value globally.
Asset Chain will allow users to buy tokenised versions of real assets such as Nigerian realty, agricultural products, government bonds, and more. This would allow people to own a fractional share of an apartment, or invest in agricultural products. All transactions would be recorded on the blockchain.
Botton Stated, “We have a partner with Risevest that allows everyday people to invest in Nigeria and earn up 15% yield annually.” Asset Chain requires asset issuers undergo strict identity checks, insurance and compliance to ensure that these digital tokens are matched with real-world assets. He added, “We already have a company named Assetbase [blockchain]that is building this with the Asset Chain.”
Asset Chain’s DEX platform could unlock the scale that it envisions. This would bring more safety, local control, and transparency to Nigeria’s huge, under-the hood P2P market. Mark your calendars
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