On Wednesday, the cryptocurrency trading giant Binance made a significant move by excluding the Nigerian Naira from its peer-to-peer (P2P) trading platform. This decision has sparked concerns among Nigerian users and authorities alike.
The P2P feature, which gained popularity among Nigerians in 2021 following the ban on crypto trading by the administration of former president Muhammadu Buhari, allows users to buy and sell cryptocurrencies directly without the need for intermediaries.
However, the exclusion of the Naira from Binance’s P2P market has raised eyebrows, especially in light of recent claims by Nigerian authorities that the platform played a role in the devaluation of the national currency.
Bayo Onanuga, a Special Adviser to President Bola Tinubu on Information & Strategy, voiced concerns about Binance’s impact on the Nigerian economy, citing its alleged arbitrary fixing of foreign exchange rates. He warned that if left unchecked, Binance could pose a threat to the country’s economic stability.
In a related development, two Binance employees were detained by the office of the National Security Adviser, Nuhu Ribadu, in Abuja. This move is part of an ongoing investigation into the operations of cryptocurrency exchanges in Nigeria.
The detention of Binance employees is seen as a proactive measure by Nigerian authorities to combat speculation on the Naira and stabilize its value amidst a turbulent economic landscape.
As the debate over cryptocurrency regulation continues to unfold in Nigeria, the exclusion of the Naira from Binance’s P2P market underscores the complexities surrounding the intersection of digital assets and traditional financial systems.
