Media outlets claimed on February 22, 2024, that Nigeria has ordered its internet service providers (ISPs) and telecommunications firms (telcos) to prohibit access to platforms for trading virtual assets.

The country’s telecom regulator, the Nigerian Communications Commission (NCC), specifically instructed carriers to ban access to the websites of Binance, Coinbase, Kraken, and a few other companies.

As of this writing, Nigerian users could not access these websites at all or could only access them sometimes. In addition to the directive to prevent access to these websites for virtual assets, the National Security Advisor (NSA) is said to have detained two executives of Binance. On February 23, 2024, the Nigerian government took this imprisonment when the two executives from Binance and the National Security Agency (NSA) with cybersecurity officers could not agree on anything. This was due to the executives’ refusal to comply with their demands.

Based on sources, Nigeria has reportedly adopted the aforementioned measures because it believes that Binance and other related virtual asset platforms facilitated, caused, or contributed to the problems ailing Nigeria’s foreign currency market. This depreciation of the Naira has led to record lows in recent weeks. Yemi Cardoso, the governor of the Central Bank of Nigeria (CBN), revealed during a press conference following the 293rd Monetary Policy Committee meeting on February 27, 2024, that over 26 billion US dollars (USD) were transferred through Binance in the previous year.

Lastly, remarks attributed to President Bola Tinubu’s Special Advisor on Information and Strategy, Bayo Onanuga, said that Binance would face a $10 billion USD fine from the Nigerian government for purportedly engaging in illegal operations in the nation.

The accusation has been denied by Binance.

Eventually, Mr. Onanuga made it clear that this was only conjecture on his part. Concurrently, reports indicate that the Financial Crimes Committee of the House of Representatives is wrapping up its inquiries about Binance.

Three significant blockchain organizations and communities in Nigeria came together to form the Blockchain Industry Coordinating Committee of Nigeria (BICCoN), which was established on January 28, 2021, as an intercommunity working group.

• Blockchain Nigeria User Group (BNUG)
• Cryptography Development Initiative of Nigeria (CDIN)
• Stakeholders in Blockchain Technology Association of Nigeria (SiBAN)
• Independent stakeholders who may not yet be affiliated with any of the three bodies/communities above

The press release addresses 6 key issues below:

• The order by the Nigerian government to telcos and ISPs in the country to block access to virtual assets websites, including Binance.com, Coinbase.com, Kraken.com, etc.
• The detention of two foreign Binance executives by the National Security Adviser (NSA)
• The over $26 billion USD disclosed by the CBN to have been channeled through Binance in the last one year
• The $10 billion USD reportedly imposed by the Nigerian government over Binance’s alleged illicit activities in the country
• The blockchain industry’s self-regulatory approach for consumer protection, investor safety, and national interest
• Availability of industry stakeholders for a dialogue with the CBN, SEC, NSA, and other relevant agencies in Nigeria