The Special Special Adviser to President Bola Tinubu on Information and Strategy, Mr. Bayo Onanuga has called for the ban of Binance, Kucoin, and other trading platforms in Nigeria.
Onanuga accused the platforms of manipulating the naira leading to the continued fall of the Nigerian currency in the forex market. This is coming amid speculations that the government is already considering the ban.
The President’s Adviser urged the Economic and Financial Crimes Commission (EFCC) and the Central Bank of Nigeria (CBN) to take swift action to end the operations of the crypto exchanges in the country.
Recommended reading: Naira value: Binance explains actions on trading by Nigerians
Earlier today, Binance issued a statement distancing itself from the forex crisis in Nigeria saying its platform is “market-driven and not intended to be a proxy for currency pricing in Nigeria.”
What Onanuga is saying
Calling for the ban via a post he titled “the Naira-Dollar manipulators” on X, Onanuga accused Nigerians trading currency on the Binance platform of unpatriotism.
- “Binance which is blatantly setting exchange rates for Nigeria, hijacking CBN role, is a cryptocurrency trading platform and suffers access limitations from multiple jurisdictions, such as the US, Singapore, Canada and the UK.
- “According to Data Wallet, Binance is prohibited in the United Kingdom by the Financial Conduct Authority from conducting any regulated activities. In Japan, the Financial Services Agency (FSA) banned Binance for operating without the necessary regulatory approval.
- “Ontario, Canada, has also suspended Binance services following its inability to meet the province’s securities regulation criteria. The Monetary Authority of Singapore also banned Singaporean investors from accessing Binance’s services.
He added that Binance, which is facing regulatory showdown in many countries, and causing disruptions in the currency market, should not be allowed to dictate the value of the Naira on its crypto exchange platform.
- “Other crypto platforms such as Kucoin, and Bybit should be banned from operating in our cyberspace. FX platform Aboki should be re-banned.
- “The EFCC and the CBN should move against these platforms trying to manipulate our national currency to Ground Zero. Crypto should be banned in our country or else this bleeding of our currency will continue unabated,” he said.
Binance statement
In its statement earlier today, said it was working with regulators and policymakers to maintain transparency in cryptocurrency trading and its impacts in the financial markets. It emphasized that Binance does not influence foreign exchange rates.
- “It is important to note that foreign exchange rates are influenced by various complex factors, which Binance has no influence on.
- “However, 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.
- “Again, we encourage users and the community to disregard any unfounded fears or uncertainties and appreciate the ongoing support as we navigate the dynamic market conditions. We will continue to provide updates through our official channels, as necessary,” it said.
Go ahead and ban the platforms and let’s see if this would reverse the fortunes of the naira, which I doubt. In my opinion, these are easy targets and scapegoats. The government should also audit the flow of fx from NNPC via CBN to banks for the last 8 years to determine the reason so much fx needed for genuine imports are being met in the parallel market instead of the official. The government should arrest and deal decisively with all fx racketeering agents in the system to show their seriousness about resolving the current naira woes.
It’s this sort of “fix racketeering agent” mentality that has the DSS and security agents chasing after forex mallams on the streets while Boko Haram and kidnappers run rampant…smh
Build a PRODUCTIVE economy instead of a rent-seeking one that imports toothpicks, gasoline, and about everything else. Fix the schools, universities, hospitals, etc., so that folks don’t have to go abroad (even to Ghana and Togo) to get even a half-decent education or (to India) for healthcare. Do these things that constitute rather BASIC governance, and most folks won’t care about foreign exchange rates.
Instead, the government foolishly chasing after money-changers in market squares to bamboozle gullible Nigerians with silly gimmicks. SMH
Criminals that have been banned everywhere and we are still harbouring them in this country?
What stupidity and foolishness is this? They should be sent away!
CRYPTO CURRENCY HAS TO BE BANNED…it’s causing regulatory issues and loss of revenue to the Govt and Common people and all the money is accumulated by the rich …Loss of revenue to the Govt severely affects the development ….people are storing their money on Crypto Form which may crash any day and destroy their lives …
Sorry, but I stopped reading at Bayo Onanuga…smh