Zone, a Nigerian payments infrastructure company, has achieved a major milestone by processing over ₦1 trillion in transactions on its blockchain network between November 2022 and December 2024.

According to the company’s CEO, Obi Emetarom, this feat was accomplished through 100 million transactions, averaging ₦10,000 per transaction.

What’s remarkable about this achievement is that most of these transactions were processed on automated teller machines (ATMs), a first for blockchain-powered payments at this scale in Nigeria.

This milestone comes despite the decline of ATM usage in recent years, with ATM transaction values declining from ₦32.65 trillion in 2022 to ₦28.2 trillion in 2023.

Twelve banks currently use Zone’s blockchain network, but few use the technology to process ATM transactions. Emetarom attributes this to the cautious approach of financial institutions, which are hesitant to adopt new technologies due to regulatory concerns.

“The real issue that affects traditional financial institutions is the fear of non-compliance of existing blockchains and DeFi solutions,” Emetarom said. “[Financial institutions] don’t want to risk being fined or their licenses withdrawn.”

Despite these challenges, Zone has made significant progress in expanding its blockchain network to POS terminals. In June 2024, the company extended its blockchain network to terminal payments, and in August, it partnered with the Nigeria Inter-Bank Settlement System Plc (NIBSS) to record POS transactions on its blockchain ledger.

The partnership with NIBSS, the country’s payment switch, was expected to kick off in October 2024, but faced delays due to regulatory approvals.

However, the CBN finally approved the partnership in December, paving the way for NIBSS to manage the interaction between the cardholder’s bank and the POS terminal on Zone’s regulated blockchain.

Emetarom is confident that Zone’s technology will be exported across Nigeria’s borders in the coming years. The startup is also planning to expand its blockchain payment rail to businesses that provide account-to-account fund transfers, bringing its technology closer to the average Nigerian.

With its sights set on global expansion, Zone is poised to revolutionize the payments landscape in Nigeria and beyond.