Cryptocurrency exchange Binance has announced the discontinuation of its naira services, prompting users to take necessary actions before the specified timeline. The decision comes amidst a regulatory faceoff between Binance and the Nigerian government over allegations of illicit financial activities.
Binance, a leading cryptocurrency exchange, has notified users of the termination of its naira services, urging them to withdraw their NGN assets or convert them into cryptocurrency before the specified deadlines. The company outlined a timeline for the discontinuation of NGN services and provided instructions for users to follow.
In a statement, Binance encouraged users to take proactive steps to manage their NGN assets, emphasizing the need to withdraw or trade their balances before the designated cutoff dates. The company specified that NGN deposits would not be supported after March 5, 2024, and NGN withdrawals would cease on March 8, 2024.
Binance outlined the conversion process for remaining NGN balances, stating that they would be automatically converted to USDT at a predetermined ratio. The conversion rate was calculated based on the average closing price of the USDT/NGN trading pair on Binance Spot over the past seven days. Users were informed that the conversion might take up to 24 hours or longer to complete.
The decision to end naira services comes amid escalating tensions between Binance and the Nigerian government. Central Bank of Nigeria (CBN) governor Yemi Cardoso alleged that Binance facilitated illicit financial inflows of approximately $26 billion through “unknown sources” in the past year. The government has accused the platform of engaging in foreign exchange rate manipulation and currency speculation.
Binance’s decision to cease naira services reflects the ongoing regulatory challenges faced by cryptocurrency exchanges in Nigeria. The move underscores the need for users to adapt to changing regulations and take proactive measures to manage their cryptocurrency assets. As the faceoff between Binance and the Nigerian government continues, the cryptocurrency industry in Nigeria remains at a crossroads, with implications for both users and platforms operating in the country.
