Cross-border Payment

How to pay Chinese Suppliers from Nigeria using Stablecoin

wambui

Author

August 25, 2025

Published

Reading

 

Introduction

 

Nigeria and China enjoy one of the strongest trade partnerships in Africa. From electronics and textiles to heavy machinery, billions of dollars’ worth of goods move between the two nations every year. For Nigerian importers, China is often the first stop when sourcing affordable products at scale.

 

Nigeria–China trade remains a heavyweight in Africa, with bilateral trade reaching over $22.56 billion in 2023 and surpassing $20 billion in 2024. Despite recent dips (around 11.5% year-on-year), Nigeria remains a crucial import hub for Chinese goods

 

But while trade is booming, payments remain a headache. Nigerian businesses face foreign exchange shortages, high bank fees, and long delays when trying to pay Chinese suppliers. In some cases, a simple transfer can take more than a week, costing businesses precious time and money.

 

This is where stablecoins come in. These digital currencies, pegged to fiat (like USD), offer fast, low-cost, transparent payments.  backed 1:1 by the US dollar, are revolutionizing cross-border payments by offering speed, affordability, and reliability. With platforms like Yogupay, Nigerian businesses can now convert Naira into stablecoins instantly and send payments to China in minutes.

 

In this guide, we’ll break down how Nigerian businesses can use stablecoins to pay Chinese suppliers, why it’s a game-changer, and how Yogupay makes the process seamless.

 

 

 

 

What Are Stablecoins?

 

Stablecoins are digital currencies designed to maintain a stable value by pegging to a reserve asset, often a fiat currency like the US dollar. Unlike traditional cryptocurrencies such as Bitcoin that experience high volatility, stablecoins offer price stability, making them well-suited for business payments and remittances. Popular examples include Tether (USDT) and USD Coin (USDC), both widely used for cross-border transactions.

 

Why Use Stablecoins to Pay Chinese Suppliers?

 

Globally, stablecoin transaction volume hit $5.7 trillion in 2024 across 1.3 billion transactions and $4.6 trillion in just H1 of 2025. While not all are cross-border trades, B2B corridors account for billions: BVNK handles $15 billion annually, and Conduit and Orbital report $10–12 billion each, representing 20–50% of stablecoin B2B flows.

 

Demand is surging across Africa. Visa sees emerging markets (like Nigeria) as prime beneficiaries of stablecoin infrastructure. Meanwhile, academic work shows stablecoins now make up a $230 billion market cap as of May 2025

 

 

The Challenges of Traditional Payment Methods

 

Despite technological advancements, traditional payment systems continue to cause friction for importers. Here are some of the main challenges Nigerian businesses face when paying suppliers in China:

 

  1. SWIFT Transfers Are Slow and Expensive
    • Transfers take 3–7 business days to settle.
    • Banks charge hefty fees, often $50–$100 per transaction.
    • Hidden charges during USD–RMB conversion increase costs.
  2. Foreign Exchange Restrictions
    • Nigeria has recurring dollar shortages.
    • Importers often struggle to access enough foreign currency at official rates.
    • Many resort to the parallel (black) market, which is costly and risky.
  3. Payment Uncertainty
    • Delays or failed transactions hurt trust between Nigerian buyers and Chinese suppliers.
    • Suppliers may hold shipments until funds arrive, disrupting supply chains.

 

Clearly, businesses need an alternative that is faster, cheaper, and more reliable.

 

Why Stablecoins Are a Game-Changer

 

Stablecoins such as USDT (Tether) and USDC are designed to combine the stability of fiat currencies with the efficiency of blockchain technology. For businesses engaged in the Nigeria–China trade, they provide multiple advantages that traditional banking systems can’t match:

 

Benefits for Nigerian Importers

 

  • Protection Against Naira Volatility
    • Stablecoins shield importers from exchange rate swings. For example, a payment worth $50,000 in stablecoins maintains its value, while the same amount in Naira could fluctuate dramatically in just a week.
  •  Easier Access Through Yogupay
    • With Yogupay, importers can instantly convert Naira into USDT/USDC and pay suppliers, eliminating the need for black market USD.

 

 

 

 

 

Benefits for Chinese Suppliers

 

While much of the conversation around stablecoins focuses on Nigerian importers, Chinese suppliers also gain significant benefits when accepting stablecoin payments. Here’s why more suppliers are increasingly open to this option:

 

1. Faster Access to Funds

 

  • Traditional payments from Nigeria often take 3–7 business days to clear. With stablecoins, suppliers receive payments in under 10 minutes, eliminating uncertainty around shipping schedules. This speed allows suppliers to ship goods sooner, improving overall efficiency in the Nigeria – China trade corridor.

 

2. Elimination of FX Volatility Risks

 

  • Payments arrive in USD-pegged stablecoins (e.g., USDT or USDC), ensuring value stability. Suppliers no longer have to worry about Naira depreciation or unstable parallel market rates. They can either hold stablecoins as a hedge against RMB fluctuations or convert them quickly to local currency.

 

3. Improved Liquidity and Cash Flow Management

 

  • Stablecoins give suppliers immediate liquidity, unlike bank transfers that may freeze funds during processing. This enables suppliers to reinvest quickly in raw materials, manufacturing, or logistics. Better liquidity translates into faster production cycles and more competitive pricing for Nigerian buyers.

 

4. Wider Global Acceptance

 

  • Stablecoins are accepted across international markets, not just in Nigeria. Suppliers dealing with multiple African countries can use the same USDT/USDC wallet for clients in Kenya, Ghana, or South Africa. This reduces the complexity of managing multiple bank accounts in different currencies.

 

5. Blockchain Transparency and Trust

 

  • Every stablecoin payment is recorded on-chain and cannot be altered. Suppliers can verify incoming payments instantly and avoid disputes over missing or delayed transfers. This increases trust between Nigerian buyers and Chinese suppliers, strengthening long-term trade relationships.

 

6. Lower Collection Costs

 

  • Traditional banks in China may charge handling fees or deduct percentages when receiving USD wires from Nigeria. Stablecoins eliminate these hidden costs, allowing suppliers to keep more of their revenue. With platforms like Yogupay, Nigerian importers also save on sending fees, creating a win-win for both sides.

 

7. Easier Off-Ramping to RMB

 

  • Suppliers can quickly convert USDT/USDC into RMB through local OTC desks, P2P exchanges, or crypto platforms. Conversion is often instant and cost-effective compared to navigating through banks. Some suppliers even use stablecoins to pay their overseas partners, creating a circular digital payment ecosystem.

 

8. Business Growth Opportunities

 

  • By embracing stablecoin payments, Chinese suppliers position themselves as forward-thinking and globally competitive. Nigerian buyers are more likely to choose suppliers that accept stablecoins because of reduced friction. Over time, this can lead to higher volumes of orders from African importers who prefer crypto-friendly trade partners.

 

In short, accepting stablecoins allows Chinese suppliers to receive funds faster, reduce costs, protect against FX risks, and build stronger partnerships with Nigerian businesses. Platforms like Yogupay make this process even smoother by ensuring secure, compliant transactions from Nigeria to China.

 

 

 

 

 

Step-by-Step: Paying Chinese Suppliers with Stablecoins

 

Here’s how a Nigerian importer can use stablecoins to pay suppliers in China:

 

  1. Choose a Stablecoin: Select a reputable stablecoin accepted globally, such as USDT or USDC.
  2. Set Up a Digital Wallet: Create a cryptocurrency wallet that supports your chosen stablecoin. Wallets can be software-based (mobile or desktop) or hardware devices.
  3. Buy Stablecoins: Purchase stablecoins through cryptocurrency exchanges accessible in Nigeria. Ensure the exchange complies with local regulations and offers secure transactions.
  4. Confirm Supplier Acceptance: Before sending payment, confirm your Chinese supplier accepts stablecoin payments and obtain their wallet address.
  5. Transfer Payment: Send the stablecoins from your wallet to your supplier’s wallet address. Transactions generally finalize within minutes.
  6. Verify Receipt:  Ask your supplier to confirm receipt, share the transaction hash as proof of payment, and then complete the transaction with all the necessary documentation

 

 

Tools and Platforms to Facilitate Stablecoin Payments

 

Several platforms simplify buying, storing, and sending stablecoins in Nigeria:

 

  • Cryptocurrency Exchanges: Local and global exchanges like Binance, Luno, or Quidax support Naira-to-stablecoin purchases.
  • Wallet Providers: Trust Wallet, MetaMask, and Coinbase Wallet are popular wallets supporting stablecoins.
  • Payment Gateways: Some services specialize in cross-border stablecoin payments, offering escrow and invoicing features tailored for businesses.

 

 

Key Considerations for Nigerian Businesses

 

While stablecoins offer speed and affordability, Nigerian importers must adopt best practices to ensure safe, legal, and efficient payments to Chinese suppliers. Here are the main considerations:

 

1. Regulatory Compliance

 

  • Nigeria’s regulatory environment around crypto is evolving. While the Central Bank of Nigeria (CBN) previously restricted banks from servicing crypto-related businesses, guidelines in 2023–2024 have started creating a clearer framework.
  • Importers should always use regulated platforms like Yogupay, which comply with KYC (Know Your Customer) and AML (Anti-Money Laundering) standards. This reduces risks of blocked transactions, regulatory penalties, or issues during customs clearance.
  • Tip: Always download and store receipts for proof of legitimate business payments.

 

2. Choosing the Right Blockchain Network

 

Stablecoins like USDT and USDC exist on multiple blockchains. The choice of network impacts cost, speed, and supplier preference.

Tip: Ask your supplier which network they prefer. For most Nigerian–Chinese trade payments, USDT TRC-20 is the standard.

 

3. Fraud Prevention and Security Best Practices

 

Cross-border trade is vulnerable to scams, so Nigerian businesses must safeguard payments.

 

  • Always verify the supplier’s wallet address. A single wrong character can send funds to the wrong wallet with no recovery.
  • Use escrow options when possible. Yogupay is building secure rails that protect both buyer and supplier during settlement.
  • Enable two-factor authentication (2FA) on your accounts.
  • Do small test transfers (e.g., $50) before sending large amounts to confirm wallet details.

 

4. Managing Business Records and Accounting

 

  • Unlike cash or informal FX transfers, stablecoin transactions generate a permanent on-chain record. Yogupay allows businesses to export transaction histories, which are useful for:
    • Accounting and financial audits.
    • Customs documentation.
    • Tax reporting.
  • Tip: Keep a separate stablecoin wallet for business transactions only. This makes record-keeping cleaner and avoids mixing personal and business funds.

 

5. Handling Exchange Rate Risks

 

  • Stablecoins themselves are pegged to USD, but importers must still monitor the Naira-to-USD exchange rate when buying stablecoins. Example: Buying $10,000 worth of USDT when the parallel rate is ₦1,400/$ costs ₦14 million. If the rate shifts to ₦1,500/$ the next week, the same purchase costs ₦15 million.
  • Tip: Importers paying suppliers regularly can reduce exposure by buying stablecoins in advance when rates are favorable, and holding them securely until needed.

 

6. Supplier Education and Relationship Management

 

  • Some suppliers in China may be new to stablecoin payments. Be prepared to explain how they work and which networks you prefer.
  • Offering to share Yogupay’s proof of payment receipts helps build trust.
  • Over time, suppliers often prefer stablecoin payments since they eliminate delays and FX issues.

 

By following these considerations, Nigerian businesses can maximize the benefits of stablecoin payments while minimizing risks. And with Yogupay handling compliance, conversion, and support, the process becomes even more seamless.

 

 

 

Benefits for Chinese Suppliers

 

While much of the conversation around stablecoins focuses on Nigerian importers, Chinese suppliers also gain significant benefits when accepting stablecoin payments. Here’s why more suppliers are increasingly open to this option:

 

1. Faster Access to Funds

 

  • Traditional payments from Nigeria often take 3–7 business days to clear. With stablecoins, suppliers receive payments in under 10 minutes, eliminating uncertainty around shipping schedules. This speed allows suppliers to ship goods sooner, improving overall efficiency in the Nigeria – China trade corridor.

 

2. Elimination of FX Volatility Risks

 

  • Payments arrive in USD-pegged stablecoins (e.g., USDT or USDC), ensuring value stability. Suppliers no longer have to worry about Naira depreciation or unstable parallel market rates. They can either hold stablecoins as a hedge against RMB fluctuations or convert them quickly to local currency.

 

3. Improved Liquidity and Cash Flow Management

 

  • Stablecoins give suppliers immediate liquidity, unlike bank transfers that may freeze funds during processing. This enables suppliers to reinvest quickly in raw materials, manufacturing, or logistics. Better liquidity translates into faster production cycles and more competitive pricing for Nigerian buyers.

 

4. Wider Global Acceptance

 

  • Stablecoins are accepted across international markets, not just in Nigeria. Suppliers dealing with multiple African countries can use the same USDT/USDC wallet for clients in Kenya, Ghana, or South Africa. This reduces the complexity of managing multiple bank accounts in different currencies.

 

5. Blockchain Transparency and Trust

 

  • Every stablecoin payment is recorded on-chain and cannot be altered. Suppliers can verify incoming payments instantly and avoid disputes over missing or delayed transfers. This increases trust between Nigerian buyers and Chinese suppliers, strengthening long-term trade relationships.

 

6. Lower Collection Costs

 

  • Traditional banks in China may charge handling fees or deduct percentages when receiving USD wires from Nigeria. Stablecoins eliminate these hidden costs, allowing suppliers to keep more of their revenue. With platforms like Yogupay, Nigerian importers also save on sending fees, creating a win-win for both sides.

 

7. Easier Off-Ramping to RMB

 

  • Suppliers can quickly convert USDT/USDC into RMB through local OTC desks, P2P exchanges, or crypto platforms. Conversion is often instant and cost-effective compared to navigating through banks. Some suppliers even use stablecoins to pay their overseas partners, creating a circular digital payment ecosystem.

 

8. Business Growth Opportunities

 

  • By embracing stablecoin payments, Chinese suppliers position themselves as forward-thinking and globally competitive. Nigerian buyers are more likely to choose suppliers that accept stablecoins because of reduced friction. Over time, this can lead to higher volumes of orders from African importers who prefer crypto-friendly trade partners.

 

In short, accepting stablecoins allows Chinese suppliers to receive funds faster, reduce costs, protect against FX risks, and build stronger partnerships with Nigerian businesses. Platforms like Yogupay make this process even smoother by ensuring secure, compliant transactions from Nigeria to China.

 

 

 

 

 

Step-by-Step: Paying Chinese Suppliers with Stablecoins

 

Here’s how a Nigerian importer can use stablecoins to pay suppliers in China:

 

  1. Choose a Stablecoin: Select a reputable stablecoin accepted globally, such as USDT or USDC.
  2. Set Up a Digital Wallet: Create a cryptocurrency wallet that supports your chosen stablecoin. Wallets can be software-based (mobile or desktop) or hardware devices.
  3. Buy Stablecoins: Purchase stablecoins through cryptocurrency exchanges accessible in Nigeria. Ensure the exchange complies with local regulations and offers secure transactions.
  4. Confirm Supplier Acceptance: Before sending payment, confirm your Chinese supplier accepts stablecoin payments and obtain their wallet address.
  5. Transfer Payment: Send the stablecoins from your wallet to your supplier’s wallet address. Transactions generally finalize within minutes.
  6. Verify Receipt:  Ask your supplier to confirm receipt, share the transaction hash as proof of payment, and then complete the transaction with all the necessary documentation

 

 

Tools and Platforms to Facilitate Stablecoin Payments

 

Several platforms simplify buying, storing, and sending stablecoins in Nigeria:

 

  • Cryptocurrency Exchanges: Local and global exchanges like Binance, Luno, or Quidax support Naira-to-stablecoin purchases.
  • Wallet Providers: Trust Wallet, MetaMask, and Coinbase Wallet are popular wallets supporting stablecoins.
  • Payment Gateways: Some services specialize in cross-border stablecoin payments, offering escrow and invoicing features tailored for businesses.

 

 

Key Considerations for Nigerian Businesses

 

While stablecoins offer speed and affordability, Nigerian importers must adopt best practices to ensure safe, legal, and efficient payments to Chinese suppliers. Here are the main considerations:

 

1. Regulatory Compliance

 

  • Nigeria’s regulatory environment around crypto is evolving. While the Central Bank of Nigeria (CBN) previously restricted banks from servicing crypto-related businesses, guidelines in 2023–2024 have started creating a clearer framework.
  • Importers should always use regulated platforms like Yogupay, which comply with KYC (Know Your Customer) and AML (Anti-Money Laundering) standards. This reduces risks of blocked transactions, regulatory penalties, or issues during customs clearance.
  • Tip: Always download and store receipts for proof of legitimate business payments.

 

2. Choosing the Right Blockchain Network

 

Stablecoins like USDT and USDC exist on multiple blockchains. The choice of network impacts cost, speed, and supplier preference.

Tip: Ask your supplier which network they prefer. For most Nigerian–Chinese trade payments, USDT TRC-20 is the standard.

 

3. Fraud Prevention and Security Best Practices

 

Cross-border trade is vulnerable to scams, so Nigerian businesses must safeguard payments.

 

  • Always verify the supplier’s wallet address. A single wrong character can send funds to the wrong wallet with no recovery.
  • Use escrow options when possible. Yogupay is building secure rails that protect both buyer and supplier during settlement.
  • Enable two-factor authentication (2FA) on your accounts.
  • Do small test transfers (e.g., $50) before sending large amounts to confirm wallet details.

 

4. Managing Business Records and Accounting

 

  • Unlike cash or informal FX transfers, stablecoin transactions generate a permanent on-chain record. Yogupay allows businesses to export transaction histories, which are useful for:
    • Accounting and financial audits.
    • Customs documentation.
    • Tax reporting.
  • Tip: Keep a separate stablecoin wallet for business transactions only. This makes record-keeping cleaner and avoids mixing personal and business funds.

 

5. Handling Exchange Rate Risks

 

  • Stablecoins themselves are pegged to USD, but importers must still monitor the Naira-to-USD exchange rate when buying stablecoins. Example: Buying $10,000 worth of USDT when the parallel rate is ₦1,400/$ costs ₦14 million. If the rate shifts to ₦1,500/$ the next week, the same purchase costs ₦15 million.
  • Tip: Importers paying suppliers regularly can reduce exposure by buying stablecoins in advance when rates are favorable, and holding them securely until needed.

 

6. Supplier Education and Relationship Management

 

  • Some suppliers in China may be new to stablecoin payments. Be prepared to explain how they work and which networks you prefer.
  • Offering to share Yogupay’s proof of payment receipts helps build trust.
  • Over time, suppliers often prefer stablecoin payments since they eliminate delays and FX issues.

 

By following these considerations, Nigerian businesses can maximize the benefits of stablecoin payments while minimizing risks. And with Yogupay handling compliance, conversion, and support, the process becomes even more seamless.

 

 

 

 

 

The Future of Cross-Border Trade with Stablecoins

 

The global payment ecosystem is undergoing one of its biggest shifts in decades, and stablecoins are at the center of this transformation. What began as a niche innovation in the crypto world is now shaping the future of international trade, especially in fast-growing markets like Africa and Asia.

 

Here are the trends that define what’s ahead:

 

1. Growing Adoption in Global Trade Corridors

 

  • Stablecoin transaction volumes reached $5.7 trillion in 2024, with cross-border payments making up a significant portion. By mid-2025, transaction volumes will have already surpassed $4.6 trillion, showing how quickly adoption is accelerating. For trade corridors like Nigeria–China, where payment frictions are common, stablecoins are set to become the default settlement method for SMEs and even larger businesses.

 

2. Integration by Major Financial Institutions

 

  • Global banks and payment giants are no longer ignoring stablecoins: 
    • Visa is building infrastructure for stablecoin settlement in emerging markets like Nigeria, where dollar scarcity and payment delays hinder trade.
    • Citi is considering custody and payment services for stablecoins and crypto ETFs, signaling institutional support.
    • Goldman Sachs has called 2025 the “Summer of Stablecoins,” forecasting mainstream adoption.
  • As more financial institutions embrace stablecoins, Nigerian businesses will have safer, more regulated rails for supplier payments.

 

3. Chinese Market Dynamics

 

  • Stablecoins are already widely used in China’s trading community, especially USDT (Tether), which has become a de facto settlement asset. Reports suggest China is exploring yuan-backed stablecoins to boost RMB adoption globally. If successful, this could mean USD. For now, USD-pegged stablecoins remain the bridge currency of choice for Nigeria–China trade.

 

4. Digital Trade Infrastructure in Africa

 

  • Africa is expected to account for 70% of global population growth by 2050, and trade is expected to grow proportionally. Nigeria, Africa’s largest economy, is already a leader in crypto adoption, with over 47% of adults owning or using crypto assets according to Chainalysis. As stablecoins become embedded into trade finance systems, African SMEs will bypass old, costly payment systems and leapfrog into blockchain-powered trade settlement.

 

5. Regulatory Maturation

 

  • Governments are beginning to recognize the value of stablecoins in supporting cross-border trade. Nigeria has already started to soften its stance on crypto payments by introducing clearer frameworks. Over the next 2–3 years, we can expect more supportive policies that integrate stablecoin payments into legitimate trade channels.

 

6. Future Role of Platforms Like Yogupay

 

  • As adoption grows, businesses won’t just need a wallet, they’ll need full-service platforms that combine:
    • On- and off-ramps (Naira ↔ Stablecoin ↔ RMB).
    • Compliance tools for cross-border transactions.
    • APIs for automated bulk supplier payments.
    • Customer support to help importers manage international trade.
  • Yogupay is building exactly this infrastructure, ensuring Nigerian businesses are not left behind in the digital payment revolution.

 

7. Long-Term Vision

 

  • Within the next 5–10 years, stablecoins could replace traditional remittance channels and SWIFT transfers in many trade corridors. Nigerian businesses will pay Chinese suppliers in seconds using digital wallets, while suppliers will receive RMB or USD instantly without intermediaries. This future is not decades away; it’s happening right now, and companies like Yogupay are at the forefront of making it accessible.

 

The bottom line is that the future of cross-border trade is digital, decentralized, and powered by stablecoins. Nigerian importers who embrace this shift early will gain a competitive edge, secure better supplier relationships, and save on costs. And with Yogupay as a partner, that future is already within reach.

 

 

 

 

 

Conclusion

 

Cross-border trade between Nigeria and China is growing faster than ever, but the payment barrier has always stood in the way of efficiency, trust, and profitability. Traditional banking systems are slow, costly, and heavily restricted by foreign exchange challenges. Stablecoins change this reality by providing fast, secure, and dollar-pegged payments that both Nigerian importers and Chinese suppliers can trust.

 

By using stablecoins, Nigerian businesses can:

 

  • Avoid costly currency fluctuations and bank delays.
  • Pay Chinese suppliers in minutes instead of weeks.
  • Build trust and stronger partnerships with suppliers through transparent blockchain payments.
  • Save on transaction costs, enabling higher profit margins.

 

Chinese suppliers, in turn, benefit from:

 

  • Instant access to funds without waiting for bank wires.
  • Stable USD-equivalent payments that reduce FX risk.
  • Easier conversion into RMB or global currencies.

 

The Nigerian import sector is worth over $60 billion annually, and the businesses that adopt stablecoin payments early will gain a massive competitive edge. While others struggle with FX restrictions and bank delays, forward-thinking importers will enjoy faster shipping, better supplier relationships, and lower costs.

 

If you’re a Nigerian importer looking to simplify supplier payments, the time to switch to stablecoin payments is now.  Get started with Yogupay today and experience faster, cheaper, and smarter cross-border payments.