UPDATES: Way Forward as Binance Removes Naira From Its Peer-To-Peer Market Amid Clampdown By Nigerian Government

Binance, a leading cryptocurrency exchange platform, has decided to remove the Nigerian Naira (NGN) from its peer-to-peer (P2P) trading service.

This decision comes in the wake of stringent measures taken by the Nigerian government against the platform. The P2P market, a vital feature of Binance, facilitates direct transactions among users without the need for intermediaries.

It gained substantial traction in Nigeria following the 2021 ban on cryptocurrency trading by the administration of the then-president, Muhammadu Buhari, making it a popular alternative for engaging with digital currencies.

However, recent developments have led to a clampdown on Binance by Nigerian authorities, citing concerns over its impact on the Naira’s value.

In particular, Bayo Onanuga, the Special Adviser to President Bola Tinubu on Information & Strategy, voiced apprehensions regarding Binance’s role in the foreign exchange market, suggesting that the platform’s operations could potentially harm the Nigerian economy due to its influence on exchange rates.

Adding to the tensions, the Financial Times disclosed that two Binance employees were detained in Abuja by officials from the office of the National Security Adviser, Nuhu Ribadu.

This action is part of broader efforts to investigate the cryptocurrency exchange’s activities within Nigeria and to address issues related to the Naira’s depreciation by targeting cryptocurrency exchanges.