In a new effort to curb the ongoing decline of the naira, the Nigerian Government has taken action by restricting access to cryptocurrency platforms such as Binance, OctaFX, Coinbase, and others.
Reports indicate that this decision aims to prevent what the government perceives as the persistent manipulation of the forex market and unauthorised movement of funds.
Sources within the telecom industry have confirmed that the Nigerian Communications Commission (NCC) directed telecom companies to block access to all cryptocurrency websites in the country, effective Wednesday, February 21, 2024.
The recent development unfolds approximately eight weeks after the Central Bank of Nigeria (CBN) reversed its ban on cryptocurrency assets, instructing banks to disregard its February 2021 directive against crypto transactions.
A previous report on Wednesday revealed the government’s contemplation of restricting access to crypto websites due to concerns that these platforms offer a convenient avenue for currency speculators and money launderers to engage in illicit activities.
Authorities assert that the purported criminal activities on these platforms significantly contribute to the ongoing depreciation of the naira.
For its part, Binance had stated that its platform is not for currency pricing and vowed to support the Federal Government’s effort at stabilising the foreign exchange market.
The clarification was in response to complaints from users about their inability to buy dollars on the platform.
“As industry leaders, we are working hand in hand with local authorities, lawmakers, and regulators to ensure we act on non-compliance,” Binance explained in a statement on Wednesday.
