BDC Operators Pressure FG to Backlist Binance Online Exchange in Nigeria

Bureau De Change Operators in Nigeria are pressuring the Federal Government to ban the operations of Binance online exchange in the country.

ENigeria Newspaper reports that Bureau De Change operators in the aegis of Association of Bureaux De Change Operators of Nigeria (ABCON) spoke through the association’s president, Aminu Gwadabe in a recent interview, wjere he held the view that Binance an online exchange where users can trade cryptocurrencies, which also supports hundreds of the most commonly traded cryptocurrencies is one of many factors putting pressure on the naira.

In light of the revelation, the association is calling on the Federal Government to immediately ban the operations of online exchange platforms.

You would recall that the Securities and Exchange Commission (SEC) of Nigeria had in June, issued a statement emphasizing that Binance Nigeria was not registered or regulated by SEC, making its operations illegal.

Meanwhile, Mr. Gwadabe said, “If you know about Binance, you will know that Binance trading is becoming the anchorage of both the investors and exporters window and the parallel market, which is unfortunate. So, we have to do something that can stop Binance now. It’s a competition. We need to ban it now and the only way to do so is if you have liquidity.”

He further stressed, “As I speak, Binance is the most liquid market. They do 1.2 million transactions per second. So, it’s a very liquid market but that is not a scary status, we can break it through our local content and peculiarities.”

The ABCON president noted that optimism was giving way to pessimism in Nigeria’s foreign exchange market.
Gwadabe pointed out that when pessimism overrode the psychology of the market, it would lead to loss of confidence.

“So, we are seeing a scenario where optimism is giving way to pessimism. Investors are not coming. Nigerians don’t have confidence in the market and we have to look for external finances that are coming in as a quick fix,” He suggested.