Following Website Ban, Two Binance Executives Detained in Nigeria

Following a series of preliminary and unverified reports, the Financial Times has now definitively confirmed the arrest of two top executives from the cryptocurrency company, Binance, in Nigeria. The two executives had traveled to Nigeria the previous week due to a ban imposed on their website in the country. They were apprehended by officials from the Office of the National Security Adviser (NSA), according to the same respected news source.

The arrests were part of a tumultuous week for Nigeria’s cryptocurrency industry, as regulatory bodies enacted significant changes. Key amongst these were the blocking of access to several digital currency exchanges’ websites, and also the firm fixing of USDT/NGN exchange rates.

Additionally, on Wednesday, multiple cryptocurrency exchanges restricted their users from buying USDT and USDC, which are popular stablecoins tied to the value of the US dollar. The scenario heavily underscores the intense regulatory scrutiny and constraints currently faced by the industry in Nigeria.

The Nigerian authorities have not issued any formal statements or admissions regarding the arrest of the Binance executives. A spokesperson from the Office of the National Security Adviser (NSA) expressed ignorance about the arrest and suggested the possibility of involvement from other, unnamed security entities.

Meanwhile, Olayemi Cardoso, the governor of Nigeria’s Central Bank, indirectly referenced some actions carried out by security agencies during a monetary policy meeting held on Tuesday. According to him, details about these actions will be disclosed in due course. Cardoso also issued a stern reminder about an impending tightening of the regulatory environment, cautioning potential speculators about the resulting consequences.

This aggressive stance from Nigeria towards cryptocurrency companies comes several months after the country lifted a prolonged ban that had previously denied them access to banking services.

In another development, an employee of Binance revealed that their office had issued a warning advising them to avoid wearing clothing or accessories displaying the Binance logo or sharing any identifiable markers associated with their employer. This highlights the tense atmosphere in the corporate environment for cryptocurrency in Nigeria.