Ban Binance? Nigerian Association Pushes for Crypto Exchange Halt

• Nigerian trade association ABCON urges the government to ban Binance, citing its effect on Naira exchange rate.
• The SEC of Nigeria declared that the operations of Binance in the country are illegal.
• Binance’s USDT/Naira trading pair volume stands at 682,000 USDT for the last 24 hours.

Leading Nigerian Trade Association Calls for Ban on Binance

A leading Nigerian trade association has urged the national government to ban crypto exchange Binance [BNB]. The Association of Bureau De Change Operators of Nigeria (ABCON), an organization representing all licensed currency exchanges in Nigeria, believes that allowing Binance to operate is aggravating the pressure on the national currency, Naira. The central bank of Nigeria has authorized ABCON to develop policies to regulate the Naira/USD exchange rate.

Central Bank Authorizes ABCON To Regulate Exchange Rate

The central bank of Nigeria has authorized ABCON to develop policies to regulate the Naira/USD exchange rate. This comes after a Bloomberg report revealed that Nigerian currency weakened to 917 naira per dollar. ABCON President Alhaji Aminu Gwadabe voiced his concern over how competition from Binance is affecting local currency exchanges and urged a ban on such activities in order for there to be enough liquidity in the country’s market.

Binance Trading Becoming Anchor Of Investors And Exporters Window

Gwadabe expressed his worries about how Binance was becoming a major hub for both official and parallel markets for USD and said,“If you know about Binance, you will know that Binance trading is becoming the anchorage of both investors and exporters‘ window.“ He also highlighted how high-liquidity is present on their platform as they handle 1.2 million transactions per second but still noted that this issue can be broken through „local content and peculiarities“.

SEC Declares Operations Of Binance In Country Illegal

Last month, Securities & Exchange Commission (SEC) of Nigeria issued a circular asking individuals to stop dealing with Binance as it was not registered with them and declared their operations in the country as illegal. Despite this warning, data shows that for past 24 hours, traders have conducted 682,000 USDT worth trades via their USDT/Naira trading pair.

Conclusion

In conclusion, despite warnings from regulatory authorities like SEC and calls from organizations like ABCON, crypto exchange activity continues unabated in Nigeria via platforms like Binance – whose liquidity remains especially strong – though this could potentially be addressed through local content policy initiatives by authorities if they decide to crack down further on such activities.