Cryptocurrency exchange platform, Binance has disabled its peer-to-peer feature for Nigerian users and removed the country’s currency, Naira, from its app.
The gesture may not be unconnected with the arrest of two senior officials of the organization visiting Nigeria, amid allegations that the platform was being used for forex speculations. The passports of the detained officials were also reportedly confiscated.
Known as the P2P market, with over 170 million users worldwide, the app allows users, buyers, and sellers transact without the intervention of a third party.
Binance gained popularity among Nigerians in 2021 after the governent outlawed the country’s Crypto industry.
The Central Bank of Nigeria, CBN, Association of Bureau de Change operators and others have called for the ban of Binance, accusing it of setting an informal value for the Naira.
CBN Governor, Olayemi Cardoso recently disclosed that $26 billion came through Binance Nigeria from “unidentified sources” last year.
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Cardoso also suggested that the Office of the National Security Adviser, the Securities and Exchange Commission, the Police, and the Economic and Financial Crimes Commission collaborate to combat such illegal financial activities.
Credible News reports that after its platform was disabled, two senior Binance officials came into the country but were reportedly arrested on the orders of the National Security Adviser.
The Federal Government is reportedly asking that the officials provide information on any transactions made on the Binance platform using Nigerian Naira during the last seven years and the removal of some other Nigerian-related data from the site.
The government has secured a court warrant to hold the officials for a minimum of twelve days.
