Web3 & Stablecoins

More financial firms are discussing stablecoin services in Nigeria. Understand what stablecoins are, where the risks sit, and what to verify before you use one.

A crypto memo, tag or payment reference is an extra identifier used by some assets and platforms to route a deposit to the right account. When one is required, the wallet address alone may not be enough, so copy every required field exactly.

Stablecoin payments use a blockchain-based asset whose value is intended to track a reference asset. Before using one, check the asset, network, recipient details, transaction fee and whether the receiving service supports that exact payment.

USDT and USDC are both stablecoins, but they are different assets with different issuers, network availability and supported platforms. Before receiving either one, confirm the exact asset and network shown by the sender and in your account.

A blockchain confirmation is a record that a transaction has been included in a block and followed by later blocks. More confirmations may give a platform greater confidence that a transfer is final, so timing can vary by network and service.

A stablecoin is a crypto asset designed to track a reference value, often a currency such as the US dollar. It may reduce price swings compared with some crypto assets, but it still carries network, platform and market risks.