Nigeria’s Central Bank has directed all financial institutions in the country to close accounts of clients using their systems for cryptocurrency trading.
The directive by the Central Bank of Nigeria (CBN) is contained in a statement issued and signed by the Director for Banking Supervision, Bello Hassan and Director for Payment System Management, Musah Jimoh.
A cryptocurrency is a virtual or digital currency that appreciates or depreciates on the whims of market forces.
“Further to earlier regulatory directives on the subject, the bank hereby wishes to remind regulated institutions that dealing in crypto currencies or facilitating payments for cryptocurrency exchange is prohibited,” part of the statement read.
“Accordingly, all DMBs, NBFIs and OFIs are directed to identify persons and/or entities transacting in or operating crypto currency exchanges within their systems and ensure that such accounts are closed immediately,” added CBN further noting that breaches of its directive will attract severe regulatory sanctions.
This is not the first time the CBN has expressed its reservations about cryptocurrency trading in the country, in 2018 the CBN issued a communique stating that cryptocurrencies are not legal tenders in Nigeria.
Read below details of the CBN’s press statement:
