A Nigerian government agency has fined Binance cryptocurrency exchange $10 billion.
The Nigerian population loves cryptocurrencies. In 2021, the Central Bank of Nigeria (CBN) banned cryptocurrency trading and cryptocurrency banking in the country, but citizens were still trading cryptocurrencies through peer-to-peer trading methods through several cryptocurrency trading platforms. However, the CBN banned cryptocurrencies but unlike China, did not impose any restrictions.
On March 1, 2024, in an interview with the BBC, Bayo Onanuga, Special Advisor to President Bola Tinubu, said that the Nigerian government would allow Binance, the leading cryptocurrency exchange, to launch a domestic cryptocurrency trading service. He said he was fined $10 billion because he was making huge profits. illegally.
Over the past few months, the Nigerian government’s stance on the cryptocurrency sector has changed dramatically. The country detained Binance executives earlier this week as it seeks a large-scale crackdown on unpaid taxes on unregistered exchanges.
In December 2023, the CBN announced its decision to lift the ban on cryptocurrency trading in the country, but maintained the ban on cryptocurrency banking imposed in 2021.
At the time, people thought the Nigerian government was planning to legalize cryptocurrencies in the country to protect cryptocurrency investors.
Just over a week ago, Nigeria restricted access to major cryptocurrency exchanges, including Binance, OctaFX, and Coinbase.
Currently, the majority of Nigerian cryptocurrency traders are using these restricted platforms through VPN services.
It is worth noting that the Nigerian government has also imposed restrictions on decentralized non-custodial cryptocurrency wallets.
Users of the popular self-custodial cryptocurrency wallet Trust Wallet have reported failing to transfer Bitcoin from Nigeria.
Some Nigerian cryptocurrency supporters have expressed their disappointment with the Nigerian government, saying their harsh actions against the cryptocurrency sector will destroy the country’s future.
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