Nigeria bans cryptocurrency exchanges, blocks access to Binance, Coinbase, etc.
Posted: February 22, 2024 4:05 AM Updated: February 22, 2024 4:05 AM
Correction and fact check date: February 22, 2024, 4:05 AM
briefly
The Nigerian government has restricted access to Binance, OctaFX, and Coinbase in an effort to govern the country’s cryptocurrency sector.
The Nigerian government ordered telecommunications companies to restrict access to cryptocurrency exchanges such as Binance, OctaFX, and Coinbase. The move comes months after the Central Bank of Nigeria issued guidelines to regulate the activities of digital asset operators, reflecting ongoing efforts to manage and control the country’s cryptocurrency sector.
The new restrictions are intended to ease domestic currency speculative activity and address concerns about potential foreign exchange market manipulation.
Before the restrictions were implemented, the spot rate on Binance was around N1,850/$. The government took various measures to stabilize the situation, including directing the Economic and Financial Crimes Commission to arrest Bureau de Change operators involved in speculative activities.
In response to subsequent user complaints about difficulty purchasing US dollars, Binance clarified that its platform is not intended for currency pricing.
Binance expressed its commitment to providing users with a market-driven, fraud-free, and manipulation-free platform, saying: “As an industry leader, we are working with local authorities, lawmakers and regulators to address all instances of non-compliance. .”
Binance temporarily suspended trading on its platform yesterday to protect users from potential price suppression. Regarding allegations of currency speculation on its platform, Binance said, “It is important to acknowledge that exchange rates are affected by various and complex factors beyond Binance’s control.”
Nonetheless, the exchange is currently engaging in discussions with local regulators, policymakers, and other stakeholders to foster transparent dialogue regarding cryptocurrencies and financial markets.
Changes in Nigeria’s Cryptocurrency Regulatory Environment
The move comes months after Nigeria’s central bank lifted a ban on cryptocurrency trading late last year, highlighting the instability of the country’s regulatory framework for digital assets.
Recently, the Indian government took action to delist major cryptocurrency exchanges such as Binance, Kucoin, Kraken, and MEXC from the local Apple App Store and Google Play, while also blocking access to their websites. took. Complies with India’s new anti-money laundering regulations.
Recent regulatory developments in Nigeria highlight the ongoing dynamic challenges and evolving nature of cryptocurrency regulation in the country.
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Alisa is a reporter for Metaverse Post. She focuses on everything related to investing, AI, metaverse, and Web3. Alisa holds a degree in Art Business and her expertise lies in the fields of art and technology. She developed a passion for journalism through her work with VCs, notable cryptocurrency projects, and science writing. You can contact us at (email protected).
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alice davidson
Alisa is a reporter for Metaverse Post. She focuses on everything related to investing, AI, metaverse, and Web3. Alisa holds a degree in Art Business and her expertise lies in the fields of art and technology. She developed a passion for journalism through her work with VCs, notable cryptocurrency projects, and science writing. You can contact us at (email protected).
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