Nigeria’s Web3 sector is attracting fresh capital, but the ecosystem is still finding its footing. In 2025, Nigerian startups raised $43 million, more than doubling the $20 million recorded in 2024, according to the Nigeria Web3 Landscape Report by Hashed Emergent.
- Nigeria’s Web3 sector is attracting fresh capital, but the ecosystem is still finding its footing.
- In 2025, Nigerian startups raised $43 million, more than doubling the $20 million recorded in 2024, according to the Nigeria...
- The country recorded $48.2 million in daily peer-to-peer stablecoin transaction volume on centralised exchanges in 2025, underscoring real-world utility beyond...
- Consumer adoption has also surged, further cementing Nigeria’s position as a global stablecoin hub,” said Tak Lee, chief executive officer...
Keep reading for the full breakdown on African tech — everything you need to know is covered below.
The surge indicates renewed investor interest in Web3 innovation in Nigeria, particularly in financial applications powered by stablecoin.
Yet, despite the rebound, the sector remains in its early growth phase, with funding heavily skewed toward early-stage ventures.
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89% of the funding is products tied to stablecoin
The $43 million raised in 2025 was largely concentrated in finance-focused startups. About 89 per cent of the funding, roughly $38 million, went into products tied to stablecoin use cases such as payments and fiat-to-crypto exchanges.
This reflects how Nigeria has become a global hub for stablecoin adoption. The country recorded $48.2 million in daily peer-to-peer stablecoin transaction volume on centralised exchanges in 2025, underscoring real-world utility beyond speculation.
For many users, stablecoins now function as a hedge against currency volatility and a tool for cross-border payments, particularly transfers to and from Ghana, Kenya, the UK, Canada, China, and parts of Europe.
With total funding rising, the deal structure reveals a young ecosystem. Of the 82 deals recorded in 2025, 73 were grants, while most of the remaining investments were concentrated in pre-seed and seed rounds.
Only one Series A deal was recorded during the year, signalling limited availability of scale capital for startups looking to expand. Early-stage deals alone accounted for about $13 million, highlighting the reliance on smaller funding rounds.
“A wave of stablecoin-focused startups is driving increased investment activity across the ecosystem. This momentum has led to finance dominating. Consumer adoption has also surged, further cementing Nigeria’s position as a global stablecoin hub,” said Tak Lee, chief executive officer and managing partner at Hashed Emergent.
This trend shows that while startup formation is increasing in Nigeria, growth-stage funding remains scarce, slowing the transition from experimentation to large-scale operations in the Web3 sector.
Nigeria accounts 4% of global Web3 developers
Beyond funding, Nigeria continues to strengthen its position in the global Web3 space. The country accounts for about 4 per cent of global Web3 developers, the largest share in Africa, with talent growing 36 per cent year-on-year.
At the same time, on-chain transaction value rose 56 per cent to $92 billion, showing increasing adoption of blockchain-based services.
Meanwhile, infrastructure startups raised just $4 million in 2025, down from $11 million in 2024, while entertainment-focused Web3 ventures dropped to $1 million.
The imbalance shows that Nigeria’s Web3 growth remains concentrated in financial use cases, particularly those built on stablecoin systems, leaving other segments underdeveloped.
Regulatory shifts and concentration risks
Why does funding remain early for Nigerian Web3 startups? Investors poured $43 million into the sector in 2025, but 89 per cent of that total went exclusively into stablecoin infrastructure, cross-border payments, and fiat-to-crypto services.
Gaming and entertainment startups saw funding decline by 50 per cent to just $1 million, a clear signal that capital is chasing immediate payment solutions rather than long-term ecosystem variety.
Also, regulation shifted in 2025 after Nigeria’s Securities and Exchange Commission formally classified digital assets as securities under the Investment and Securities Act 2025, alongside a new tax framework.
That move offers legal clarity, yet it has not unlocked broader investor needs. The concentration of funds in finance shows Nigerian Web3 startups remain a bet on remittance and hedging tools rather than a diverse technology frontier.
“While progress on regulation has been slower than expected, the foundation of the ecosystem remains strong, driven by resilient founders and builders who continue to create, adapt, and push the space forward,” said Tak Lee, CEO and Managing Partner at Hashed Emergent.
“There are clear signs of progress, with increased engagement between stakeholders and regulators. One thing is clear: Nigeria remains an anchor for Web3 and blockchain adoption in Africa.”
Without growth-stage capital or sectoral spread, the $43 million raised by Nigerian Web3 startups in 2025 marks a milestone but not a breakthrough.
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