In November 2016, internet users across Nigeria received a message from their Network service providers. 

One of them read:

"Dear customer, please be informed that from 1st Dec, some data tariffs will be increased to reflect the new rates set by the NCC to operators. Thank you.The Nigerian Communication Commission (NCC) was imposing what it referred to as a data price floor. It was pegging a new price of N0.90k/MB, almost one naira to the megabyte. An astronomical jump from what the costs were at the time. 

In a statement defending the new policy, the NCC said, "the Commission cannot allow market forces to determine data price because there will be distortion in market competition."

Prices of data plans have progressively reduced in recent years because of the exact competition the NCC was looking to regulate.

At the time, the Nigeria tech startup ecosystem, although booming, was still very young. Jumia had only earlier that year become the first African tech Unicorn. Flutterwave, a future unicorn itself, was only in its first year of operations. 

There was a rising number of tech communities like usable, forloop Africa and Devcenter. These communities were the backbone for the growing pool of tech talent that was powering the infant tech industry. It consisted of anyone from seasoned professionals to students still in university looking to kickstart their careers. Students could participate in this new boom because the barrier to entry had become so low. You only needed two things, a computer and access to the internet. The new policy was threatening to take away that access.

As you would expect, there was an outcry from the masses, and the price hike was halted, with the NCC promising its inevitability. Even now, Nigeria has the highest cost of internet in Africa. This would not be the last time an African government would enact a policy that directly impeded the tech industry's progress. 

The most glaring example in Nigeria is the 2020 motorcycle ban implemented in Lagos. The Lagos government put out a complete ban on motorcycles that led to the death of several fast-growing ride-hailing companies. Here is a breakdown of the effects of that policy:

Gokada, whose core business was ride-haling at the time switched to logistics and laid off 70% of its staff.

Opay has made the switch to its mobile money service.

Safeboda, an East African ride-hailing service that had been looking to open operations in Lagos, made the pivot to Ibadan, Oyo state.

Max Go shut down its ride-hailing services. 

Since the ban in 2020, the commercial motorbikes, okada, have returned in full force and were only recently once again relegated to specific parts of the city.

There are so many examples like this.

In 2020, Nigeria ranked 3rd by volume of crypto transactions, behind only the US and Russia. The preceding years had seen a steady rise in cryptocurrency adoption by the Nigerian youth. Nigerians have embraced crypto for a number of reasons. Many view crypto as a safer store of value as the Naira continues its steady devaluation. Many Nigerians view crypto as a new form of investment, and many others are using it to bypass bank transfers to send money to family members worldwide. With the growing crypto market came the emergence of crypto technology companies such as Buycoins and Patricia. The government's crypto ban in 2021 was unexpected but not surprising. Commercial banks in Nigeria began to shut down accounts believed to be linked to crypto activity, and yet again, Nigerian tech companies found themselves innovating around their government.

The effects of the hostile environment created by African governments can be seen clearly in all areas of the technology sector. Nigeria is experiencing a talent drain, with many tech talents migrating to better environments. Companies that can survive the hostile business climate do so not through government support but despite the hurdles thrown at them. 

The African tech ecosystem has experienced steady growth in the past five years. For each year, African tech companies have attracted more venture capital funding. In the first quarter of 2022, while Europe and Asia were recording 33% and 35% growth of financing, respectively, Africa was the only region with triple digits growth recording a 150% increase in funding. In 2021 alone, the continent welcomed five new unicorns. A decade ago, there were none. 

The growth of technology in Africa is undeniable. What is up for debate is the part the modern nation-states have played. At Afropolitan, our mission is to build the first-ever internet country.

Afropolitan is building a Network State.

We intend to build a state that supports, rather than stifles, innovation. We are creating fertile ground to absorb and generate value from the wealth of natural talent and resources on the African continent and in its diaspora. 

Instead of pushing against future technology, we are building with it.

With cryptocurrency, people in entirely different parts of the world can partake in commerce using a currency not regulated by any of their nation-states. 

Renowned crypto-philosopher Balaji Srinivasan highlighted this as the most viable strategy to build such a country in the 21st century. He calls this the Network State. The Network State is a digital nation launched first as an online community before materializing physically on land after reaching critical mass.

Our nation will be able to form and share ideas fluidly without the bounds of geography or travel challenges. Entrepreneurs can access sustainable funding, talent, and professional support in the new Network state.

Join us on the journey to the future. We've laid out our master plan in our manifesto. Afropolitan is looking to onboard the most dedicated and ambitious people to join our fledgling Network. We care less about what you've done and more about who you aspire to become and how we can all be better together.

To get involved, join our mailing list first to get a sense of our community.