Fact about Nigeria new law on Crypto ban within the country

[Badmanthought]

I've receiving numerous calls from friends since the imposed law on Crypto was published yesterday 05/03/2021
All wanting to know the way forward and what is left for Nigerians in blockchain/Crypto industry most especially the traders.

Using the country india as a case study, for the past few years it citizens were restricted from the use of Cryptocurrency within it country, but that didn't stop those that wants to support, trade or hold any Cryptocurrency of there choice not to do so.
I have lots of india friends that was trading and also holding BTC during those period, I also work with some of them as a team member.

The most important thing is to know what you want,  find the niche and nothing will stop you from achieving your goal, not even the government.
. It's quite too late now for the Federal Government of Nigeria to impose this law.
Even without the use of Bank, there are other numerous method which Nigerians can now use to deposit and withdraw their Crypto to the local bank account.

Another thing to consider is how Nigeria has been contributing to the growth of Crypto currency adoption in Africa, Nigeria has forerun the growth of Crypto and blockchain technology in Africa and it's not going down anytime soon. Look at African governments the way they operate especially when they need taxes and contributions from private decentralised institutions it's all corruption and it can't bring down this global trend, PayPal is entering the crypto market do you think CBN will block PayPal?
Microsoft is in the market do you think it will get blocked. USA and China are fighting for digital supremacy and you think Nigeria is exception... This is coming from few politicians who want to gain from crypto firms and this policy will again be lifted...

For those new to the industry, there's no need for panic...
At the moment you can still withdraw your money to your local bank account, the FGN proposed ban is only applicable to bank deposit ( i.e, transferring of money from your bank account to Crypto exchange) at the moment.

[Argoo]

As far as I know, India has not yet had a strict ban on the storage and use of cryptocurrency. Earlier, the Reserve Bank of India did not recommend lower-level banks to serve stock exchanges and exchangers. This decision was later overturned by the Supreme Court. Now the parliament is really considering a bill to ban cryptocurrency, but its consideration was recently postponed.
Such a prohibition will greatly affect the actions of the population, depending on the measures taken to implement it and the sanctions for violating this prohibition.

[mk4]

PayPal is entering the crypto market do you think CBN will block PayPal?

They don't really need to go that far. The Nigerian government could simply communicate with PayPal and tell them to disallow buying of cryptocurrencies for every single Nigerian citizen. Also knowing that crypto purchases on PayPal are currently only available on select countries.

[avikz]

For those new to the industry, there's no need for panic...
At the moment you can still withdraw your money to your local bank account, the FGN proposed ban is only applicable to bank deposit ( i.e, transferring of money from your bank account to Crypto exchange) at the moment.

It seems the ban in Nigeria is not very strict. Nigerian government has only banned depositing to crypto exchanges but not the withdrawal, it seems! Am I correct?

It doesn't make sense at all! If a government wants to impose a ban on anything, they will block all possible ways! But allowing crypto proceedings to credit to your bank account, doesn't make sense!

Or is it something allowed for a fixed period of time so that Nigerian people can sell their crypto holdings and come out of the market?

[best123]

I am a Nigeria but the law has done nothing to us. I withdraw at least 3 times awake. The P2P from major exchanges are walking perfectly.
The law only affected direct depositing and withdrawal from banks to exchange.

[TravelMug]

I am a Nigeria but the law has done nothing to us. I withdraw at least 3 times awake. The P2P from major exchanges are walking perfectly.
The law only affected direct depositing and withdrawal from banks to exchange.

Ok, at least it's good to hear that there is no blanket ban so far.

For local exchanges though, Nigeria and just like the rest of other countries need to implement a stricter law that might nor might not affect crypto trading in the Nigeria. And it seems though that this "negative" news has simmer down a bit as the dust has settled and everything is clear now. Thus, crypto proved once against that it's hard to stop even by the government.

[Lorence.xD]

I am a Nigeria but the law has done nothing to us. I withdraw at least 3 times awake. The P2P from major exchanges are walking perfectly.
The law only affected direct depositing and withdrawal from banks to exchange.

That means that there is nothing to worry about there when you are using crypto in Nigeria right? But that would mean that large transactions there are going to be difficult because you can't do it in one go  because it might raise some flags. I still want that law to be abolished because I think that it limits bitcoin/cryptocurrency in Nigeria in some sort of way.

[verita1]

If I am understanding correctly. If a person in Nigeria exchanges cryptocurrencies for example on Binance P2P he would have no problems with his bank account. If this is correct, P2P exchanges are a good solution for now. Although I also agree that as soon as possible the situation of cryptocurrencies in Nigeria must be solved.

In another thread OP demonstrated that the case of Nigeria could be reversed in favor that far from harming Nigerians, the adoption or the call to use cryptocurrencies as a solution to economic problems now people would unite more.

[gabbie2010]

If I am understanding correctly. If a person in Nigeria exchanges cryptocurrencies for example on Binance P2P he would have no problems with his bank account. If this is correct, P2P exchanges are a good solution for now. Although I also agree that as soon as possible the situation of cryptocurrencies in Nigeria must be solved.

In another thread OP demonstrated that the case of Nigeria could be reversed in favor that far from harming Nigerians, the adoption or the call to use cryptocurrencies as a solution to economic problems now people would unite more.

From a reliable source Nigerian users of P2P in Binance can transact swiftly without any hitch but the sender of the Fiat(Naira) must not make a remark with respect to the cryptocurrency transacted to avoid the bank involved in detecting that the transactions is related to Bitcoin or any coins in a nutshell no individual as well as exchanges should be involved in any cryptocurrencies related transactions while P2P can done anonymously.

[maybukaspa]

Nigerians are smart, but I don't know about their own government. Besides, digital currency is not controlled by any government and as far as I know, Nigeria is not generally banned from using crypto, but there are restrictions. The government has made it difficult for banks to transact directly with crypto. For now, Peer to Peer transactions is going to help them with this issue.

[thesmallgod]

Nigeria does not ban crypto. If they ban it then, no one will legitimately trade bitcoin again. What they do is that they want all financial institutions to stop receiving any money associated with bitcoin again. There are still a lot of local exchangers that are accepting and you can also buy from them. one on one trading is still very much common. You can work with local service providers and sell your coin to get paid in Nigeria. Generally, it is very difficult to buy what you do not have control over.

[Gozie51]

PayPal is entering the crypto market do you think CBN will block PayPal?

They don't really need to go that far. The Nigerian government could simply communicate with PayPal and tell them to disallow buying of cryptocurrencies for every single Nigerian citizen. Also knowing that crypto purchases on PayPal are currently only available on select countries.

Exchanges and their P2P services are all active like binance. If such communication was possible to stop cryptocurrency business in Nigeria, the government would have done that. Banning of crypto connection with the ban was just a political plan for accounts used to disburse money during the #endSar and that was the origin. I don't think the Nigerian government is out to prohibit a total business with cryptocurrency.

[intelligentdude]

Crypto traders in Nigeria did not see the news coming. We had to resort to the old way of trading which is Peer to Peer.

However, we used to do bulk buy and sell via whatsap buy/sell arena but the beauty of it all is that we have a good number of crypto exchanges which support Peer to Peer platform.

Traders can now buy and sell their crypto assets with Peace of mind. Personally, I use Quidax.com to buy and sell and my experience with the platform is great.

You will need to do your level 3 verification before you can buy or sell using Quidax platform.

For details on how to use Quidax Peer to Peer platform, please visit this link : https://blog.quidax.com/make-way-p2p-is-live-on-quidax/

[hugeblack]

Often, the institutions and platforms that are addressed by such legal restrictions are not individuals, as the total investment of individuals will not constitute an economic blow to many countries.
Governments resort to banning some trading platform activities because they do not pay appropriate taxes and make citizens believe in the weakness of their local currency's strength.

Generally, many citizens are afraid, and many of them will stop once they know that the state prohibits investment in cryptocurrencies.