Binance ends Nigerian Naira services amid government crackdown Binance ends Nigerian Naira services amid government crackdown
The Nigerian government has increased its scrutiny over Binance's operations in the country recently.
2 min read
Updated: Mar. 5, 2024 at 1:50 pm UTC
Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.
Crypto exchange Binance said it would discontinue all services associated with the Nigerian local fiat currency, Naira (NGN), in a phased approach this week, according to a Mar. 5 statement.
The Richard Teng-led crypto platform stated that its Nigerian users would not enjoy several NGN-related services, including deposits, withdrawals, conversions, spot trading, P2P, Auto-invest, and Binance Pay.
While NGN deposits have ceased immediately, users have until Mar. 8 to withdraw their NGN assets. Post-deadline, Binance intends to automatically convert the remaining NGN balance to USDT at a fixed rate of 1 USDT for $1,515.13, the average closing price over the last seven days.
Moreover, Binance will delist all NGN spot trading pairs and automatically close all open trading positions by Mar. 7.
The exchange did not provide an official reason for its decision. Also, it has yet to respond to CryptoSlate’s request for additional commentary as of press time.
Binance’s woes in Nigeria
Binance’s decision to cease NGN services can be attributed to its issues with the Nigerian government over the past weeks.
The Nigerian authorities have accused the exchange of exacerbating Nigeria’s foreign exchange challenges by usurping the Central Bank of Nigeria’s role in setting exchange rates.
While the crypto platform denies this allegation, the Nigerian government has initiated a crackdown on the firm, including a blockade of its website. In addition, the government reportedly detained two Binance staff members, and their passports were seized.
Meanwhile, recent reports have revealed that the Nigerian government is contemplating imposing a $10 billion fine on Binance for its alleged infractions. However, Bayo Onanuga, an aide to the Nigerian President, denied these reports, claiming that the authorities have yet to conclude the actions they would take on the exchange.
Moreover, Nigerian lawmakers recently summoned Binance CEO Richard Teng to appear before a committee over the exchange’s alleged role in money laundering and terrorism financing.
Mentioned in this article
Author 
Oluwapelumi Adejumo
Oluwapelumi values Bitcoin's potential. He imparts insights on a range of topics like DeFi, hacks, mining and culture, underlining transformative power.
Latest Nigeria Stories
Featured Story
Advertise Here
In this article
Binance
Binance is a global cryptocurrency exchange that provides a platform for trading more than 100 cryptocurrencies.
Richard Teng, a veteran in the financial services and regulatory sectors, boasts over three decades of extensive experience.
