Ban Binance and save Naira, proposes Nigerian trade association

TL;DR Breakdown

  • The Association of Bureau De Change Operators of Nigeria (ABCON), has called on the Nigerian government to impose a ban on Binance (BNB), citing concerns over its impact on the country’s national currency, the Naira. 
  • Alhaji Aminu Gwadabe, the President of ABCON, expressed to the media that the exchange has emerged as a central hub for both Nigeria’s official currency exchange market and the parallel market for USD.
  • Besides facing regulatory scrutiny in the United States, the exchange has encountered similar issues in Nigeria.

Description

The Association of Bureau De Change Operators of Nigeria (ABCON), a prominent trade association in Nigeria, has called on the Nigerian government to impose a ban on the popular cryptocurrency exchange Binance (BNB), citing concerns over its impact on the country’s national currency, the Naira. ABCON, which functions as a self-regulatory body representing all licensed … Read more

The Association of Bureau De Change Operators of Nigeria (ABCON), a prominent trade association in Nigeria, has called on the Nigerian government to impose a ban on the popular cryptocurrency exchange Binance (BNB), citing concerns over its impact on the country’s national currency, the Naira. ABCON, which functions as a self-regulatory body representing all licensed currency exchanges in Nigeria, is authorized by the central bank of Nigeria to formulate policies for regulating the Naira to USD exchange rate.

The rationale behind ABCON’s call stems from its belief that Binance is contributing to the depreciation of the Naira. A recent report from Bloomberg indicated that the Nigerian currency had weakened to 917 Naira per US Dollar. Alhaji Aminu Gwadabe, the President of ABCON, expressed to the media that Binance has emerged as a central hub for both Nigeria’s official currency exchange market and the parallel market for USD. Gwadabe emphasized the unfortunate situation where Binance’s trading influence has become prominent in these markets.

“If you know about Binance, you will know that Binance trading is becoming the anchorage of both the investors and exporters’ window and the parallel market, which is unfortunate.”

Gwadabe highlighted the competitive pressure that local currency exchanges are facing from Binance and stressed the importance of curtailing Binance’s trading activities within Nigeria. He noted that achieving this would require the country to have sufficient liquidity and further added, “As I speak, Binance is the most liquid market; they do 1.2 million transactions per second. So it’s a very liquid market but that is not a scary status, we can break it through our local content and peculiarities.”

Currently, Binance’s trading pair of USDT/Naira boasts a trading volume of 682,000 USDT over the past 24 hours.

Binance regulatory struggles

The exchange has not been exempt from regulatory challenges in Nigeria. Besides facing regulatory scrutiny in the United States, the exchange has encountered similar issues in Nigeria. In the previous month, the Securities and Exchange Commission (SEC) of Nigeria issued a circular cautioning individuals against dealing with Binance, as the exchange had not been registered with the SEC. The SEC deemed Binance’s operations in the country as illegal.

In response, the crypto exchange issued a cease-and-desist notice to an alleged impostor named “Binance Limited Nigeria,” which the SEC had flagged. Additionally, in June, the SEC warned Nigerian investors about the risks associated with investing in crypto assets and mentioned the ongoing legal action taken by American regulators against the exchange for alleged securities violations.

The regulatory landscape in Nigeria continued to evolve, with the signing of the 2023 Finance Act into law. This legislation introduced a 10% capital gains tax on profits derived from the disposal of crypto assets, starting from May 1. However, there remains a lack of clear and unambiguous regulatory guidance regarding the status of crypto assets within the country.

Notably, Nigeria held the 11th position in Chainalysis’ 2022 Global Crypto Adoption Index, indicating a notable level of crypto engagement and adoption within the country.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

文章来源于互联网:Ban Binance and save Naira, proposes Nigerian trade association

Disclaimers:

1. You are solely responsible for your investment decisions and this info is not liable for any losses you may incur.

2. The copyright of this article belongs to the writer, it represents the writer's opinions only, not represents the site's ones. Not financial advice.

Previous 2023年8月11日 00:03
Next 2023年8月11日 01:52

Related articles

  • Best Twitter threads of the day – August 29th

    Description Grayscale’s victory over the SEC is a big win Will stablecoins eclipse Mastercard, PayPal, and other leading digital payment solutions? Grayscale’s victory over the SEC is a big win 1/ Grayscale’s victory over the SEC is *massive.* It’s very rare for a federal circuit court to find that an agency has violated the APA by acting arbitrarily and capriciously. The DC Circuit just delivered a huge embarrassment for the SEC. But the ETF isn’t approved yet 🧵 — Jake Chervinsky (@jchervinsky) August 29, 2023 2/ The DC Circuit soundly rejected the SEC’s view that Grayscale’s ETF proposal was not “designed to prevent fraudulent and manipulative acts and practices.” The SEC has spent a full decade denying spot bitcoin ETF proposals under this reasoning. That era has now come to an end. — Jake Chervinsky (@jchervinsky) August 29, 2023 3/ But the court didn’t order the SEC to approve Grayscale’s ETF proposal. It just said the SEC’s analysis on the “fraud and manipulation” issue was wrong. Now, the SEC has to go back and review Grayscale’s proposal again, with the…

    Article 2023年8月30日
  • Shaq Oneal faces lawsuit over NFT project

    TL;DR Breakdown Shaq Oneal faces a class-action lawsuit for a security laws violation in his Solana NFT project ‘Astrals. Astral is a community-driven project on the Solana blockchain comprised of 10,000 unique 3D avatars with 16 races, all with unique features. Shaq Oneal joins other influencers, such as Soulja Boy and Akon, who have been sued for promoting cryptocurrencies. Description Basketball star Shaq Oneal faces a class-action lawsuit for a security laws violation in his Solana NFT project ‘Astrals.’Shaq Oneal allegedly abandoned the project after the FTX collapse, which led to a plummet in the value of the project. The project in question was closely tied to his celebrity status, which is part of the … Read more Basketball star Shaq Oneal faces a class-action lawsuit for a security laws violation in his Solana NFT project ‘Astrals.’Shaq Oneal allegedly abandoned the project after the FTX collapse, which led to a plummet in the value of the project. The project in question was closely tied to his celebrity status, which is part of the claims in the amended complaint filed on…

    Article 2023年9月9日
  • South Korea tightens grip on undeclared overseas crypto worth $99B

    TL;DR Breakdown South Korea’s tax agency reports that citizens and businesses hold around $99 billion in overseas crypto assets. A total of 1,432 individuals and entities are responsible for these crypto holdings. The Financial Services Commission is focusing on over-the-counter cryptocurrency transactions. Description South Korea’s tax agency has reported that citizens and businesses in the country hold approximately 131 trillion won, or around $99 billion, in overseas crypto assets. This staggering figure accounts for 70% of all offshore assets disclosed by South Koreans this year. Moreover, the tax authority revealed that 1,432 individuals and entities are behind these … Read more South Korea’s tax agency has reported that citizens and businesses in the country hold approximately 131 trillion won, or around $99 billion, in overseas crypto assets. This staggering figure accounts for 70% of all offshore assets disclosed by South Koreans this year. Moreover, the tax authority revealed that 1,432 individuals and entities are behind these substantial holdings. Besides crypto assets, the tax agency’s data showed South Koreans have significant investments in stocks, deposits, and savings overseas. 5,419 entities disclosed…

    Article 2023年9月21日
  • Royal Bank of Canada forecasts cautious approach by Federal Reserve on CBDCs: Details

    TL;DR Breakdown RBC analyst Atul Bhatia predicts that the U.S. Federal Reserve will adopt a cautious, incremental approach to the development of a Central Bank Digital Currency (CBDC), focusing on enhancing existing systems rather than a complete overhaul. Bhatia highlights the potential efficiencies a digital dollar could bring, such as streamlined transactions, but also points out significant security, privacy, and governance concerns that could outweigh the benefits. Bhatia’s analysis aligns with a broader global trend of cautious CBDC implementation, suggesting that the U.S. Federal Reserve’s approach could serve as a model for other countries grappling with the complexities of digital currencies. Description Royal Bank of Canada analyst Atul Bhatia recently shed light on the U.S. Federal Reserve’s likely approach to Central Bank Digital Currency (CBDC) development, emphasizing a cautious, incremental strategy over a radical transformation. This perspective comes at a time when the concept of CBDCs is gaining global traction, promising to revolutionize the financial landscape. The … Read more Royal Bank of Canada analyst Atul Bhatia recently shed light on the U.S. Federal Reserve’s likely approach to Central Bank…

    Article 2023年9月2日
  • CFTC’s crypto crackdown in Florida, Louisiana, Arkansas

    TL;DR Breakdown The CFTC has initiated legal proceedings against individuals linked to Fundsz for deceptive cryptocurrency and precious metals trading. Fundsz’s associates, based in Florida, Louisiana, and Arkansas, promised implausible returns and associated their venture with charitable initiatives. Over 14,000 individuals were misled with false promises of weekly returns. Description In a notable development, the landscape of the cryptocurrency world has been jolted yet again. The Commodity Futures Trading Commission (CFTC) is displaying zero tolerance, focusing its regulatory radar on individuals linked to an operation identified as Fundsz, a company embroiled in questionable investment solicitations. The heart of the matter lies in their unconvincing assertions … Read more In a notable development, the landscape of the cryptocurrency world has been jolted yet again. The Commodity Futures Trading Commission (CFTC) is displaying zero tolerance, focusing its regulatory radar on individuals linked to an operation identified as Fundsz, a company embroiled in questionable investment solicitations. The heart of the matter lies in their unconvincing assertions and dubious dealings in cryptocurrency and precious metals. Alluring Promises with Hollow Foundations The players in this…

    Article 2023年8月13日
TOP