Binance Will Discontinue all Nigerian Naira (NGN) services

Binance banner and the naira

Binance, a leading cryptocurrency exchange platform, is embroiled in a growing controversy in Nigeria. Following the Nigerian government’s detention of Binance staff and a demand for a staggering $10 billion fine, the situation has escalated dramatically. The House of Representatives Committee on Financial Crimes ordered the immediate arrest of Binance’s CEO, Richard Teng, and management for their alleged involvement in terrorism financing and money laundering. Despite repeated summons, Binance representatives failed to appear before the committee, leading to the issuance of an arrest warrant.

A Growing Controversy

Binance, a leading cryptocurrency exchange platform, is embroiled in a growing controversy in Nigeria. Following the Nigerian government’s detention of Binance staff and a demand for a staggering $10 billion fine, the situation has escalated dramatically. The House of Representatives Committee on Financial Crimes ordered the immediate arrest of Binance’s CEO, Richard Teng, and management for their alleged involvement in terrorism financing and money laundering. Despite repeated summons, Binance representatives failed to appear before the committee, leading to the issuance of an arrest warrant.

Discontinuation of Service

Adding to the turmoil, Binance announced its decision to discontinue all Nigerian Naira (NGN) services. Effective from March 8, 2024, at 08:00 (UTC), any remaining NGN balances in users’ Binance accounts will be automatically converted to USDT, a stablecoin pegged to the US dollar. This move comes amidst heightened regulatory scrutiny and increasing tensions between Binance and Nigerian authorities.

A statement from the company said:

“Users are encouraged to withdraw NGN, trade their NGN assets or convert NGN into crypto prior to the discontinuation of these NGN services.

“From 2024-03-08 08:00 (UTC), any remaining NGN balances in users’ Binance accounts will be automatically converted to USDT based on the conversion rate below.

The Allegations

The Nigerian government’s actions against Binance stem from allegations of money laundering and terrorist financing. Binance has been flagged by the Central Bank of Nigeria for its alleged involvement in illicit financial activities. These accusations have led to significant legal and regulatory challenges for the cryptocurrency exchange platform.

In response to the escalating situation, Binance has faced mounting pressure to address regulatory concerns and cooperate with Nigerian authorities. However, the company’s decision to discontinue NGN services reflects a significant shift in its operations within the Nigerian market.

As the saga unfolds, stakeholders closely monitor developments, anticipating further implications for Binance’s operations in Nigeria and the broader cryptocurrency industry.

Author: Jinka

Jinka is a self-trained crypto journalist, passionate about happenings in the industry.