Nigeria government did not ban bitcoin

[posi]

Why do some governments constantly change their minds about crypto? They ban them, then accept it again?

It might be because they do not have a full control on what is happening in crypto and we all know that governments do not like it when they are not in control of the situation. Take India for example, they have a hot and cold relationship with bitcoin despite having a lot of users in their country. I know that it is said a lot of times but I have to say that the only way for cryptocurrency to coexist with the government is if they accept and go with the flow, make regulations instead of prohibitions that will not be good for the populace and they are missing big time on taxes that they could've taken from those cryptocurrency users.

The government believe and thought about crypto currency is really amazed but I don't think their cold/heartless relationship towards crtptocurrency was because they are not in control because all centralized exchange which provided for crypto to fiat implementation KYC/AML automatically the governments are in control of all the activities executed on CEX. I believe the reason behind their coldness against crypto is more of a political ambition (I believe the #End Sar issue trigger the DMB, OFI and NBFI ban on crypto in Nigeria while Indian are using China strategy because of the creation of their CBDC ).

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[milani]

On February 05, 2021, the central bank of Nigeria prohibit any regulated institution dealing with bitcoin and other cryptocurrencies, such institutions accounts were ordered to be closed.



But, Nigerians should still know that bitcoin and other crypto assets are not banned in the country, only the banking aspect of it are restricted.

“As regards our recent policy pronouncement, it is important to clarify that the CBN circular of February 5, 2021 did not place any new restrictions on cryptocurrencies, given that all banks in the country had earlier been forbidden, through CBN’s circular dated January 12, 2017, not to use, hold, trade and/or transact in cryptocurrencies.

So, carrying out p2p is not forbidden or any other thing related to cryptocurrencies like mining remain legal as they are beyond the power of the CBN. What do you people think about this?

This banking aspect paralyze lots of opportunities to crypto users. Even in case you mine that is not forbidden by this regulation, there will be a great problem to use your mined coins, because noone is allowed to accept as the means of payment or you will not able to cash out your assets - exchanges are also not allowed to use. So in Nigeria you may only hold and wait for better times with more suitable situation for cryptocurrencies. In my opinion it will not last forever. Governors change after sone periods, and policy changes aldo with them. Stay positive.

[Becky666]

Why do some governments constantly change their minds about crypto? They ban them, then accept it again?

Due to government ignorance toward new technology they chose to confused themselves in this regards. Nigeria government thought they are wise with their financials but regretted their actions after the banned. The CBN Director of payment made it clear that many misunderstood this memo and they are working on strategies that will exhibit this new technology with the old financial system.

There were rumors that this action of the Federal Government of Nigeria has some reasons behind it; some said that there where money laundering which was likely executed by some strong group in the government, this operation gave them the means to laundered some money abroad, and i quite agreed with this rumors. In the history of Nigeria government, whenever this government want to execute anything bad they tend to create unpleasant atmosphere for citizens to succeed in their acts.

[teosanru]

A similar set of orders was given by the Reserve Bank of India around 3 years ago. It created a lot of panic at that time and people thought the cryptocurrencies are banned in India a few exchanges even had to shut down but a few exchanges figured out a way of P2P fiat dealings to circumvent this ban. Later last year the Supreme court ruled out that the ban was unlawful as transactions of cryptocurrencies do not fall under the purview of the Reserve Bank of India, therefore, it cannot ban any institution from dealing in cryptocurrencies. It's the parliament that frames any law and it's the responsibility of Parliament to create this law too. So Nigerians should not worry In fact a very good case can be fought against the Nigerian Bank on pretty much the same grounds giving Indian judicial announcement as a Precedent.