Nigeria blocks access to Coinbase, Binance, Kraken as naira price falls to record lows
Nigeria has taken drastic measures, including blocking access to major cryptocurrency exchanges, to stabilize its currency, the naira, which is plummeting, the Financial Times reported. The move comes as the Nigerian government attempts to crack down on currency speculation with the naira at an all-time low.
JUST IN: 🇳🇬 Nigeria has blocked access to Coinbase, Binance and Kraken as its currency falls to record lows, the Financial Times reports.
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The Nigerian Communications Commission (NCC) late Wednesday ordered telecommunications companies to restrict consumer access to the websites of major cryptocurrency platforms such as Binance, Coinbase and Kraken. As a result, consumers experienced only intermittent access to these sites on Thursday.
Bayo Onanuga, Special Adviser to the Nigerian President on Intelligence and Strategy, told X that local reports that the government was blocking access to the exchange were correct.
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Forex Crisis: Nigerian Government Blocks Binance, OctaFX, Coinbase and More https://t.co/cq6DoxqInj
— Onanuga Bayo (@aonanuga1956) February 22, 2024
Cryptocurrency exchanges have played a large role in setting the unofficial market price of the naira, with platforms such as Binance often serving as benchmarks for local foreign currency exchange rates. The government’s move to block access to these platforms is an effort to regain control over the value of the Naira currency.
“Binance, which is facing regulatory showdowns in many countries and causing confusion in currency markets, should not be allowed to determine the value of the naira and not a cryptocurrency exchange platform,” Onanuga added. “Cryptocurrencies should be banned in our country. Otherwise, the outflow of our currency will continue unabated.”
Nigeria’s hasty measures to protect its currency, including shutting down price-setting websites and declaring certain cryptocurrency companies illegal, highlights the difficulties the country faces in managing its economic stability. Nigeria’s currency has fallen more than 70% since the Central Bank of Nigeria lifted the dollar peg in June.
