June 12, 2023

Nigeria Halts Binance Operations

Binance Nigeria

Binance Nigeria

Binance operations became illegal in Nigeria following the Nigerian Securities and Exchange Commission’s decision to ban the leading crypto exchange work in the West African nation.

The Nigerian commission’s decision comes days following the US Securities and Exchange Commission (SEC) accused Binance during the past week of unregistered securities and acting as an unregistered securities broker among other charges, up to 13 charges.

“Binance Nigeria Limited is hereby directed to immediately stop soliciting Nigerian investors in any form whatsoever. Any member of the investing public dealing with the entity is doing so at his or her own risk,” the Nigerian commission said, a matter which means that Binance is neither registered nor regulated in the country so far, according to Cointelegraph.

Binance is considered one of the prominent and popular crypto exchanges in Nigeria and Africa. Chainlysis said that the Middle East and North Africa region is prominent crypto adoption worldwide, having users that received $566 billion in cryptocurrencies between July 2021 and June 2022, a 48% increase from the previous year.

It is worth mentioning that Nigeria came in 11th place on Chainalysis 2022 Global Crypto Adoption Index and 17th in trading volume on peer-to-peer (P2P) exchanges.

In February 2021, the Central Bank of Nigeria banned all regulated financial institutions from providing services to crypto exchanges in the country.

Earlier, Binance US asked its users to withdraw their USD deposits by June 13, as the deposits and withdrawals will be suspended following the US authorities’ lawsuit against it.

Binance said its suspension of the USD withdrawals and deposits comes as a part of its efforts to protect its customers and platform in terms of the US SEC’s use of “extremely aggressive and intimidating tactics in its pursuit of an ideological campaign against the American digital asset industry.”

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