The bank accounts of Nigerian investment fintechs including Rise Vest, Bamboo and Chaka have been unfrozen by the Federal High Court sitting in Abuja.
The Central Bank of Nigeria had accused the firms of sourcing foreign currency illegally to buy foreign securities and asked the court to freeze their accounts for six months.
According to the apex bank, it wanted to probe the source of forex used by the firms to buy foreign securities and cryptocurrencies.
Justice Taiwo ruled that the central bank’s order relied on a circular to banks, which was not supported in law.
“The interim order freezing the accounts of the (companies) is hereby vacated,” Taiwo said
Taiwo ordered Zenith Bank and Guaranty Trust Bank, which hold accounts for the companies, to “immediately unfreeze” the accounts of Chaka, Bamboo and Rise Vest and grant them “unfettered access” to the accounts.
In February, the central bank barred financial institutions from dealing in or facilitating transactions in cryptocurrencies.
But crypto use is thriving in Nigeria, where many are using it for business, to protect their savings as the Naira loses value, and to send payments abroad because it is often hard to obtain U.S. dollars, experts and users say.
