A Blockchain for Nigeria - Exploring Blockchain Policy and Adoption in Nigeria

Abstract

The report is written as a White Paper and contains a number of recommendations. Recommendation 1: Consider the development of a blockchain for Nigeria – ‘Nigereum’, a new blockchain infrastructure for Nigeria. This provides enhanced cybersecurity, safeguards sovereignty, and reduces carbon emissions. Recommendation 2: Consider consolidating all government blockchain-based services, including the Hyperledger-based e-Naira, on Nigereum. Recommendation 3: NITDA to use its law-making consultative powers to propose new rules governing core developers of Nigereum to be subject to Nigerian laws and policies. Recommendation 4: The next iteration of the NITDA Blockchain policy to stratify capacity building, with a strategic focus on developing core developer capacity and hardware capacity in Nigeria, beyond the aspiration of creating low-, and middle-income talent populating the blockchain ecosystem. Recommendation 5: Consider negotiating a Data Embassy agreement with a third country. This will enhance cyber security and energy security for Nigereum. Recommendation 6: Implement STDM in parts of Lagos where there is a land tenure data gap. This will help provide fuller data for the Nigereum-based land registry. Recommendation 7: Consider a pilot project built on an existing blockchain, e.g., Ethereum, for a blockchain-based land registry in the state of Lagos and the FCTA. Use MVP built as a (1) Permissionless blockchain (2) Incorporates gatekeeper roles reflecting extant property law. Based on stakeholder interviews, software development and testing, and extensive desk-based research on blockchain adoption for enhancing government services in developing countries between April – September 2023, the above-mentioned recommendations have been set forth. This White Paper also lays out a plan for the proposed pilot project in Lagos Land Registry (Recommendation 7) and links it to the work of the Steering group on Blockchain adoption at NITDA. A detailed analysis of sustainable development issues has aided the framing of this plan. The research team invites stakeholders from the governance, development, and blockchain sectors to comment and engage with these recommendations and to feedback. The research team continues to discuss and analyse the best model of blockchain adoption for Nigeria and similar countries, through testing their minimum viable blockchain product for land administration and stake holder engagement. The team aims to develop a Green Paper in conjunction with implementing agencies in Nigeria.