The Association of Bureaux De Change Operators of Nigeria (ABCON) has advocated for the Nigerian federal government to ban the operations of Binance in the country. Aminu Gwadabe, the president of ABCON, expressed this sentiment in a recent interview in Lagos.
Binance is an online exchange platform that facilitates cryptocurrency trading, supporting numerous commonly traded cryptocurrencies.
Gwadabe highlighted that Binance’s activities contribute to the pressure on the Nigerian naira. The Securities and Exchange Commission (SEC) of Nigeria previously issued a statement in June, asserting that Binance Nigeria was operating without registration or regulation by SEC, rendering its operations illegal.
Gwadabe stated, “If you know about Binance, you will know that Binance trading is becoming the anchorage of both the investors and exporters window and the parallel market, which is unfortunate. So, we have to do something that can stop Binance. It’s a competition. We need to ban Binance, and the only way to do so is if you have liquidity.”
He further emphasized, “As I speak, Binance is the most liquid market. They do 1.2 million transactions per second. So, it’s a very liquid market, but that is not a scary status. We can break it through our local content and peculiarities.”
Gwadabe expressed concerns about a shift from optimism to pessimism in Nigeria’s foreign exchange market, noting that this shift could lead to a loss of confidence among investors. He suggested that as optimism diminishes, external finances are sought as a quick fix to address the challenges in the market.
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