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CBN Official Says They Never Banned Crypto Trading

Phillip Seefeldt

ByPhillip Seefeldt

Mar 22, 2021

Crypto trading has now become the forte of most people who are looking to survive in most and all developing countries. Even though most people in the countries prefer to use cash as a means of exchange, it does not rule out that they want crypto. But despite their frantic efforts to trade crypto at ease, some regulations have hindered them from doing so.

A typical example is Nigeria, where almost half of the population wants to hold and trade crypto, but the latest regulation is now a stumbling block. In a new twist this week, a senior member of the Central bank of Nigeria has told newsmen that crypto trading was never banned across the African country.

Adamu Lamtek gives an update on the regulation

In news that a local outlet, Today NG, reported, the senior official pointed out that the recently rolled regulation never banned interested users from trading digital assets. The official in question, Adamu Lamtek, mentioned that the premier bank just acted in the best interests of financial institutions in the country and did not ban crypto trading.

This recent clarification is coming off the back of a previous rule that the CBN rolled out some months ago. The Central Bank of Nigeria told all banks to seize working with crypto traders and businesses who conduct crypto-related services. Even though most financial institutions have now adopted and followed the regulation, most of them still don’t know what prompted the move in the first place.

In his statement, Lamtek pointed out that their focus was never restricting crypto and won’t discourage people from trading the assets. He also noted that the step that the CBN wants to establish is ruling out the use and trade of crypto in the banking sector of the country.

Nigeria still top in crypto adoption despite regulation

Lamtek represented the governor of the Central Bank of Nigeria, Godwin Emefiele, at an event that the premier bank organized for journalists across the country. Reacting to the news, many people have once again started giving different opinions as to what they think the new rule says. Giving his two cents about the update, the CEO of Dan holdings, Danny Oyekan, has stated categorically that crypto traders and users across the country should not see this as an avenue to think that the bank now supports crypto and trading it.

He also pointed out that the government has no control over the use and trade of digital assets to start with, so they cannot control who trades and who doesn’t trade it. Digital assets and some other instruments were usually the concern of the Securities and Exchange Commission of Nigeria.

The regulator previously announced that they were making moves to regulate the scene before the latest CBN rule. Despite the rule, crypto adoption in Nigeria has not diminished, with the country going on to clinch the first position in crypt trading across Africa. With no relationship whatsoever with financial institutions, traders in the country now use the peer-to-peer option to buy and sell digital assets.

Phillip Seefeldt

Phillip Seefeldt

Phillip Seefeldt is a skilled and perceptive news writer known for his comprehensive analysis and engaging writing style. With a commitment to accuracy and a deep understanding of current affairs, his articles provide readers with insightful perspectives and thought-provoking insights.

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