Since the crypto ban took effect on February 5, 2021, the Nigerian government's actions have seemed off-target. Initially citing concerns about money laundering and terrorist financing, the decision to restrict commercial banks from processing crypto transactions has failed to produce the desired outcomes. Instead, it has inflicted significant financial losses on both banks and the country, diverting funds that could have fueled peer-to-peer (P2P) operations.
Despite Nigeria's reputation as Africa's leading crypto hub and a top 10 global player, the government's attempts to curtail crypto transactions appear futile in the face of widespread adoption. This latest move seems to be yet another miscalculation.
The decision comes across as callous, particularly considering the positive impact of crypto on the lives of many unemployed graduates. A more constructive approach could have involved allowing commercial banks to operate within a regulated framework, but such solutions seem to be disregarded.
The suspension of exchanges like Binance, Coinbase, and Kraken raises eyebrows: Why target these particular platforms? Why not others such as Bitget and Kucoin? These disparities cast doubt on the government's motives and decision-making process, further fueling the ongoing debate.
What are your thoughts regarding this insensitive decision?