This is an update on the Nigeria-Crypto situation. It has been confirmed by the Nigerian Financial Times that two Binance executives were arrested this week in the country.
In contrast, 2024 is already looking like a tough year for cryptocurrency exchanges operating in Nigeria, with Binance taking more of the heat than other exchanges.
According to our sources, the two finance executives landed in Nigeria because of the recent scrutiny of crypto exchanges by the Central Bank of Nigeria about having influenced the rapid devaluation of the Naira.
Although measures have been taken by Binance to follow the government’s directives on how it wants to stop and reverse the devaluation of the Naira, the executives arrived in Nigeria to rectify other related problems. However, neither of them saw the arrest coming.
The Nigeria – Binance Situation
The Nigerian government is silent on the arrest, but our sources state that the National Security Advisers (NSA) conducted the arrest of the Binance executives.
An anonymous NSA official stated that the security organization is unaware of the arrest, as it could be another branch of the national security agencies in Nigeria.
Earlier, cryptocurrency exchanges in Nigeria suspended the USD/NGN exchange on their platforms in agreement with the country’s instructions. Therefore, the arrest was a move that no one saw.
The Nigerian Central Bank governor, Olayemi Cardoso on Tuesday, hinted that the country’s security agencies had taken some actions and will continue following with more actions until the currency is back to a more ideal valuation.
The actions, however, were undisclosed. However, the CBN governor declared that the actions would be made public at a later date.
In addition, the regulators will increase their strictness with the crypto exchanges, and whoever is a threat to the country’s economic well-being.
Binance officials are now warned by the exchange to stop wearing the exchange’s merchandise and, under no circumstances, share vital identifying information about Binance.