According to reports, the Central Bank of Nigeria has frozen the accounts of cryptocurrency traders

According to reports, the Central Bank of Nigeria has ordered all commercial banks in the country to freeze the accounts of at least two individuals engaged in crypto transactions.

According to a report by the Nigerian news media Peoples Gazette on November 7, Bank Supervision Director JY Mammanand, release A notice instructing the central bank to close the accounts of two suspected crypto traders and transfer their funds to a “suspense account.” Mammanand cited the Central Bank of Nigeria (CBN) notice issued in February as the reason for closing the account.

According to reports, the crackdown is part of a larger move by banking regulators to immediately close the accounts of Nigerian residents or companies that use local banks to “trade or operate on cryptocurrency exchanges.” February, CBN Ban banks from providing services to cryptocurrency exchanges In the country, concerns including volatility, money laundering and financing of terrorism were cited. CBN Governor Godwin Emefiel later Claim most crypto transactions Commercial banks passing through the country are “illegal”-that is, used to fund illegal activities.

Despite the actions taken by the Central Bank, Nigeria’s cryptocurrency market has become one of the largest cryptocurrency markets in Africa, and the overall retail transaction volume of the African continent has reached Increased by more than 1,200% Between July 2020 and June 2021. Cointelegraph reported on the country in August Own the second largest market For peer-to-peer Bitcoin (Bitcoin) trade.

related: Bank of China says it will not freeze legal encrypted accounts

In addition, CBN is preparing Introduce the national central bank digital currencyIn October, the Federal High Court of Nigeria approved eNaira. eNaira is marketed as a faster, cheaper and safer currency transaction option, but it is reported that it will continue to circulate with Nigeria’s legal tender.