Two months after CBN ban, global crypto market cap hits $2tn

Two months after the Central Bank of Nigeria prohibited cryptocurrency transactions by regulated institutions in the country, the global cryptocurrency market capitalisation has hit an all-time high of $2 trillion.

The CBN had on Feb. 5 said that it prohibited regulated institutions from dealing in cryptocurrencies or facilitating payments for cryptocurrency exchanges. It, therefore, ordered banks and other financial institutions to close all cryptocurrency accounts.

At midday on Monday, the market cap was at $2.02 trillion, according to data and market trackers CoinGecko and Blockfolio.

Bitcoin, the world’s most popular cryptocurrency, was last up 1.4 percent at $59,025, with a market cap of $1.1 trillion.

Reuters reported on Monday that gains over the last several months had attracted demand from both institutional and retail investors.

The market cap of all cryptocurrencies had in early January reached $1 trillion, with Bitcoin remaining the market leader with a $676 billion market cap.

Cryptocurrency is virtual cash or digital asset. It is used as a medium of exchange with strong cryptography to secure financial transactions, control additional unit creation and substantiate asset transfer.