Central Bank of Nigeria Official Reiterates Nigerian Residents Free to Trade BTC

[Josefjix]

A senior executive with Nigeria’s central bank, Adamu Lamtek, has reportedly denied that his institution had placed restrictions on the use of cryptocurrencies. Instead, Lamtek, who is the deputy governor responsible for corporates services at the Central Bank of Nigeria (CBN), says his organisation’s directive only applies to the banking sector.

Source: https://news.bitcoin.com/central-bank-of-nigeria-official-reiterates-nigerian-residents-free-to-trade-cryptos-directive-only-applies-to-banking-sector

As a Nigerian I can confirm this particular quote from Mr Adamu is false and CBN has restricted Nigerians from using Bank accounts to buy cryptocurrencies. Though P2P has been done smoothly but there are high rate of scams involved.. People have lost huge some of money through this medium because of holistic approach by the CBN.

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[cheezcarls]

A senior executive with Nigeria’s central bank, Adamu Lamtek, has reportedly denied that his institution had placed restrictions on the use of cryptocurrencies. Instead, Lamtek, who is the deputy governor responsible for corporates services at the Central Bank of Nigeria (CBN), says his organisation’s directive only applies to the banking sector.

Source: https://news.bitcoin.com/central-bank-of-nigeria-official-reiterates-nigerian-residents-free-to-trade-cryptos-directive-only-applies-to-banking-sector

As a Nigerian I can confirm this particular quote from Mr Adamu is false and CBN has restricted Nigerians from using Bank accounts to buy cryptocurrencies. Though P2P has been done smoothly but there are high rate of scams involved.. People have lost huge some of money through this medium because of holistic approach by the CBN.

Of course, it's still good news for Nigerians that they are free to do cryptocurrency trading via P2P. However, I would consider Nigeria as a "gray country" because the banks are banned and prohibited from dealing with cryptocurrency exchanges, etc.

Right here in the Philippines, despite that the government and central bank has welcomed cryptocurrencies in open arms, there are some banks like Banco De Oro (BDO) who are not crypto friendly. Like my colleague's case as a newbie himself, he withdrew his money from a crypto wallet straight to his bank account. Little did he know that once it came from a cryptocurrency wallet even if it's an emergency, they would immediately close his account, and they did.

[bL4nkcode]

[...] there are some banks like Banco De Oro (BDO) who are not crypto friendly. Like my colleague's case as a newbie himself, he withdrew his money from a crypto wallet straight to his bank account. Little did he know that once it came from a cryptocurrency wallet even if it's an emergency, they would immediately close his account, and they did.

That's unfortunate, but based on my experience with the same bank, they are somewhat neutral, I received zero notice regarding the use of the bank account to deposit/withdraw to/from the local crypto exchanges in PH.
I read somewhere that some branch are good/neutral on those cases related to cryptocurrency same like here on my place, yet some are just like what your colleague's experienced.

As for the news, the same like india, nothing's new. Just hope the CBN will clarify its regulations towards this industry.

[Miaallen]

A senior executive with Nigeria’s central bank, Adamu Lamtek, has reportedly denied that his institution had placed restrictions on the use of cryptocurrencies. Instead, Lamtek, who is the deputy governor responsible for corporates services at the Central Bank of Nigeria (CBN), says his organisation’s directive only applies to the banking sector.

Using p2p means of exchange as the only means of exchange cryptocurrency to cash or cash to cryptocurrency in Nigeria may be risky but major exchanges all over the world such binance now offer p2p service and it is very much secure and safe.

[BIT-BENDER]

Right now so many news concerning this hot issue of central bank of Nigeria and crypto-currency restrictions, it's not new if the government of Nigeria plays pawn and master a good character on the media and Nigerian crypto-currency enthusiast lavish in stiff neck character of the central bank on crypto-currency, I feel the topic is far public now and international eyes are reading it up, so it's a matter of time before they let go of their old grudges on crypto-currency.

[Coyster]

As a Nigerian I can confirm this particular quote from Mr Adamu is false and CBN has restricted Nigerians from using Bank accounts to buy cryptocurrencies.

I don't think the statement from Mr Adamu on this issue is false, crypto usage is still very much legal in Nigeria, the only thing the government have done is to cut off banks from cryptocurrency transactions via exchanges, you can feely exchange your crypto in Nigeria through P2P and the other party will send the funds straight into your account; what the Nigerian government is simply saying is you can freely carry out your crypto transactions, but Nigerian banks will no longer be taking withdrawal request straight from crypto exchanges right into your personal Nigerian bank account.

[teosanru]

A senior executive with Nigeria’s central bank, Adamu Lamtek, has reportedly denied that his institution had placed restrictions on the use of cryptocurrencies. Instead, Lamtek, who is the deputy governor responsible for corporates services at the Central Bank of Nigeria (CBN), says his organisation’s directive only applies to the banking sector.

Source: https://news.bitcoin.com/central-bank-of-nigeria-official-reiterates-nigerian-residents-free-to-trade-cryptos-directive-only-applies-to-banking-sector

As a Nigerian I can confirm this particular quote from Mr Adamu is false and CBN has restricted Nigerians from using Bank accounts to buy cryptocurrencies. Though P2P has been done smoothly but there are high rate of scams involved.. People have lost huge some of money through this medium because of holistic approach by the CBN.

It's interesting that a senior Executive at the Bank has cleared this out. This is a similar to what happened in India some time back. Even the Reserve Bank of India banned banks from transacting into cryptos but P2P market flourished pretty nicely infact a few exchanges brought online P2P platforms which became quite popular and are still being used by many even after the ban on Banks dealing in cryptos have been lifted bye the Supreme Court. I think a simple thing Nigerians need is a reliable central marketplace which could allow nigerian users to trade in cryptocurrencies, I think this is a pure play business opportunity and you might see an exchange providing this service soon.

[batang_bitcoin]

A senior executive with Nigeria’s central bank, Adamu Lamtek, has reportedly denied that his institution had placed restrictions on the use of cryptocurrencies. Instead, Lamtek, who is the deputy governor responsible for corporates services at the Central Bank of Nigeria (CBN), says his organisation’s directive only applies to the banking sector.

Source: https://news.bitcoin.com/central-bank-of-nigeria-official-reiterates-nigerian-residents-free-to-trade-cryptos-directive-only-applies-to-banking-sector

As a Nigerian I can confirm this particular quote from Mr Adamu is false and CBN has restricted Nigerians from using Bank accounts to buy cryptocurrencies. Though P2P has been done smoothly but there are high rate of scams involved.. People have lost huge some of money through this medium because of holistic approach by the CBN.

And that restriction from CBN using bank accounts for crypto isn't allowed? there's no ban but there's a restriction attaching your bank accounts for crypto purchases? that's like a lite ban for me however, the clarification about imposing the ban is good that it was cleared.
Too sad that there were scams being involved through P2P and it happens everywhere. For you guys there, just be careful whenever you trade P2P and always verify first your trades.

[Johnyz]

Scammers wont be stopped by any of us here so that’s why you have to be more careful even if you’re using a P2P transactions. Its good that the Nigerian Central Bank clear this things out and finally, Nigerian can trade legally without freezing their bank account if ever. This is a good news and I do hope that more central bank will issue the same thing.

[zanezane]

The reason why the bitcoin currency has come under discussion recently is that the value of the currency has increased a lot. As a result many people are inclined to buy this bitcoin however, many experts are warning about this. It is often heard that international hackers are hacking various computers and demanding ransom and they are asked to pay the ransom in bitcoin but the Nigerian central bank official told nigerians to trade for free on BTC this is good news for bitcoin many nigerian companies have stopped it but have backed the rise in loans and cryptocurrencies  he sites to trade or invest must be analyzed.

They worry more about the medium of payment instead of addressing the attacks itself so they have to ban cryptocurrency because they don't have the balls to deal with the hacks and can't do it because they are incompetent. Good thing that trading is free to go but I think that the Central Bank of Nigeria is having their priorities pointed in the wrong direction, they could benefit highly in this cryptocurrency game.

[bittick]

Well that's really unfortunate, and I do agree although p2p seems the most logical way of getting around this ban but it's just too risky, but how's the law enforced in real life? does people get their account banned in masses considering in Nigeria crypto users are also many, does the law really gets enforced though or maybe only to whales who hold big amount of money.

[kaya11]

A senior executive with Nigeria’s central bank, Adamu Lamtek, has reportedly denied that his institution had placed restrictions on the use of cryptocurrencies. Instead, Lamtek, who is the deputy governor responsible for corporates services at the Central Bank of Nigeria (CBN), says his organisation’s directive only applies to the banking sector.

Source: https://news.bitcoin.com/central-bank-of-nigeria-official-reiterates-nigerian-residents-free-to-trade-cryptos-directive-only-applies-to-banking-sector

As a Nigerian I can confirm this particular quote from Mr Adamu is false and CBN has restricted Nigerians from using Bank accounts to buy cryptocurrencies. Though P2P has been done smoothly but there are high rate of scams involved.. People have lost huge some of money through this medium because of holistic approach by the CBN.

Scams are everywhere, it's not the fault of the crypto currencies, it's human nature. Anyways congratulations on having a free of worries trading crypto. Because in some places in the world are having problems with their government, aside from being banned some are just juiced by high taxes. Good to be in our country as we can do whatever we want with our bitcoins and other alts.

[bryant.coleman]

When bank accounts can't be used, how can they trade with cryptocurrency. There are two main options now. Either trade with physical cash or gift cards using P2P platforms, or use Stablecoins instead of USD. Both these options have risks associated with them. Imagine meeting a complete stranger face to face to deal with big amounts of cash. It is going to be risky for both the parties (buyer as well as the seller).

[Sterbens]

As a Nigerian I can confirm this particular quote from Mr Adamu is false and CBN has restricted Nigerians from using Bank accounts to buy cryptocurrencies. Though P2P has been done smoothly but there are high rate of scams involved.. People have lost huge some of money through this medium because of holistic approach by the CBN.

even Nigeria will be the leading growth leader for bitcoin, and thus will likely see a major increase in the development of the Nigeria economy this year. since the news about the inauguration that bitcoin is traded openly, its potential and impact will be comprehensive in all sectors. those of us outside Nigeria will find it beneficial.

[Haunebu]

I don't think the Nigerian government seriously checks whether every individual is trading cryptocurrencies using their bank accounts since this would require a huge time and manpower investment.

These rules are probably only meant to scare cryptocurrency investors and I feel that majority of the cryptocurrency investors still find ways to trade while ignoring these rules.

Similar situations can be observed around the world in countries like India etc based on my research.

[slapper]

They should bring more education for people who involve with bitcoin and cryptocurrency. These regulations only create more crimes since people are in need of more bitcoin and they simply avoid learning more about how to protect themselves from cyber thieves.

Currently, my country has the same issues to you and a vast amount of money have been stolen by burglars who claim themselves as professional in the fields in order to lure investors in their traps. Unfortunately, up to now, there is no law to protect citizens and they have to learn everything by themselves.

Though, I still believe this is a positive move toward cryptocurrencies. It is good not to be restricted from using that digital asset to earn money. In fact, a lot of people in my countries do earn an affordable profit from different sources related to crypto.

[Betwrong]

~
Right here in the Philippines, despite that the government and central bank has welcomed cryptocurrencies in open arms, there are some banks like Banco De Oro (BDO) who are not crypto friendly. Like my colleague's case as a newbie himself, he withdrew his money from a crypto wallet straight to his bank account. Little did he know that once it came from a cryptocurrency wallet even if it's an emergency, they would immediately close his account, and they did.

I don't get this part. If Banco De Oro works like exchange itself, why did they close your colleague's account? But if the bank doesn't work like exchange, how could he withdraw money from crypto wallet straight to his bank account?


As for the Central Bank of Nigeria, they are trying to act exactly like some other central banks in other countries, where governments don't care about their citizens.

[goaldigger]

Based on the statement of OP, it looks like Nigerian Central Banks are making a false statement when in fact, they really restrict their people are using their banks in connection to cryprocurrency which I think is very common on many countries since they are still in doubt with the potential of Bitcoin. If you’re living on a country where regulators are strict, better to comply with it so you wont get any problem, don’t worry and our real time will come and those banks wont stop us.

[Gozie51]

I think the facts have been started that the restrictions are on the accounts tied to banks. Like those running an exchange to bank kind of transactions and that was why binance deactivated such accounts that was tied to Nigerian banks. But P2P has been optimally utilized without problem for now.

However, I see politics coming to play in this whole issue because the Senate is also doing her questioning and I know the Nigerian senate to be highly political in decision taking.

but there are high rate of scams involved.

Scammers look for such opportunities too to get their own flesh. We need to be careful before we transact.

[Vishnu.Reang]

I don't think the Nigerian government seriously checks whether every individual is trading cryptocurrencies using their bank accounts since this would require a huge time and manpower investment.

These rules are probably only meant to scare cryptocurrency investors and I feel that majority of the cryptocurrency investors still find ways to trade while ignoring these rules.

Similar situations can be observed around the world in countries like India etc based on my research.

They may flag random users who deal with cryptocurrency and close down their bank accounts. This will create issues for cryptocurrency users. If they close down the bank account, then the users will face all sort of difficulties. Debit cards and credit cards will get blocked and making payments for utility bills and other expenses will be impossible. Still, at least the situation is better than what we have in India. In Nigeria at least the government is not stupid enough to make possession of cryptocurrency a criminal offense.