The Central Bank of Nigeria (CBN) has firmly dismissed reports that it issued a directive requiring banks and financial institutions to identify customers transacting with major cryptocurrency exchanges.
The alleged directive stated that the CBN instructed banks to issue a "Post No Debit" order on the accounts of individuals or entities engaging with platforms like Bybit, KuCoin, OKX, and Binance, prohibiting the account holder from withdrawing funds or making payments.
Accordingly, the CBN initially issued a denial which was subsequently deleted, only to reissue the denial later via the social media platform X.
In the reported circular addressed to deposit money banks, non-bank financial institutions, and the general public, the CBN cautioned that dealing in digital tokens or facilitating payments for crypto exchanges remains prohibited.
This statement seemingly contradicts the central bank's decision last year to lift a nearly two-year-old comprehensive ban on banks' engagement with digital currencies. In January, the Nigerian central bank released strict guidelines for cryptocurrency businesses and customers.
Remarkably, the confusion surrounding the alleged crypto ban comes amid an ongoing conflict between Binance and the Nigerian government, as reported by Traders Union.
Subsequently, tensions escalated when Nigeria accused the largest crypto platform of enabling currency speculation that led to the crash of the country's currency, the naira.
Nigerian authorities invited two Binance executives to the country for discussions, only to arrest them upon arrival. One of the executives, Tigran Gambaryan, remains in custody facing five charges related to money laundering.
Meanwhile, Nadeem Anjarwalla, managed to escape and was subsequently tracked down in Kenya, where he faces another trial.