Nigeria has asked its telecommunications firms to restrict access to the websites of cryptocurrency firms such as Binance, OctaFX, Coinbase and others, months after its Central Bank issued a guideline to govern digital asset operatorsâ activities.
In December 2023, the Central Bank of Nigeria changed its stance on crypto assets and asked banks to disregard its February 2021 ban on crypto transactions.
This new restriction on crypto websites is aimed at slowing currency speculation activities in the country, with Binance stating that its platform is not for currency pricing. The platform said this after users complained about their inability to buy dollars.
While noting its commitment to a market-driven, fraud-free, and manipulation-free platform for its users, Binance said, âFurthermore, as industry leaders, we are working hand in hand with local authorities, lawmakers, and regulators to ensure we act on non-compliance.â
Later on Wednesday, the firm confirmed that it paused transactions to protect users from price suppression. Addressing rumours that currency speculation was thriving on its platform, the firm said, âIt is important to note that foreign exchange rates are influenced by various complex factors, which Binance has no influence on.
âHowever, we continue to actively engage with regulators, policymakers and other relevant stakeholders to foster an open, transparent dialogue about managing the evolving landscape of cryptocurrency and financial markets.â
However, in a move that began as a rumour, the Nigerian Communications Commission has asked telecom firms to block access to the websites of Binance and other cryptocurrency firms.
According to a top source in the telecoms industry, telcos got a directive from the commission today. The restriction is to take effect immediately, the source added. There is no timeline yet for this restriction. When Nigeria blocked access to Twitter in 2021, it asked telcos to restrict access to the platform.
