In a recent interview on Channels Television’s Politics Today programme, Bayo Onanuga, Special Adviser Information and Strategy to President Tinubu, voiced strong concerns over the impact of cryptocurrency trading platform Binance on the nation’s economy. Onanuga asserted that if not curtailed, Binance could potentially wreak havoc on Nigeria’s economic stability by manipulating foreign exchange rates.
Expressing his discontent, Onanuga stated, “If we don’t clamp down on Binance, Binance will destroy the economy of this country. They just fix the rate.” He highlighted the issue of external entities dictating exchange rates, a role traditionally held by the Central Bank of Nigeria (CBN), and emphasized the need to prevent such interference to safeguard the country’s financial integrity.
Onanuga further urged Nigerians to refrain from patronizing parallel markets for foreign exchange rates, emphasizing that the CBN’s official platform should be the sole reference. He labeled the parallel market as illegal and cautioned against relying on it, stressing the importance of adhering to CBN’s regulated rates.
The discussion surrounding Binance comes amidst Nigeria’s ongoing struggle with various economic challenges, including inflation, forex instability, and high living costs. The depreciation of the Nigerian naira over the past months has raised alarms, prompting government attention towards cryptocurrency platforms like Binance.
Governor of the Central Bank of Nigeria, Olayemi Cardoso, also voiced concerns over illicit financial flows facilitated by certain crypto exchanges, specifically mentioning Binance. Cardoso revealed that a significant sum, amounting to $26 billion, had passed through Binance Nigeria over the past year from unidentifiable sources and users.
In response to these concerns, Nigerian authorities have intensified efforts to regulate cryptocurrency exchanges, including Binance, collaborating with anti-corruption agencies and law enforcement bodies to investigate suspicious financial activities.
Source: ChannelsTV