Conspiracy theory...Binance in the spotlight...Should we be worried?

[EarnOnVictor]

It's no news that a certain presidential aide was running his mouth recently and called for the government to clamp down on Binance and other crypto exchanges alleging that they are the source of the uncontrollable fall of the national currency. Personally, I don't believe it even though there could be some slight contributory effect.

Regardless, what the P2P system is based upon is not any different from how it's operating globally, so why are other countries not alleging manipulations? Have you ever heard of a top-world country fighting an exchange rate window for its price rate manipulation? That got me confused because what is happening in our P2P on exchanges is what is happening in other countries' P2P. Needless to say, before the P2P initiative, similar systems were in place without any issues or shift of blame.

If the economy is good, your currency will reflect it, Period!

The situation has dragged Binance out already and many others have started with their conspiracy theories. Look at the latest I found below:

https://punchng.com/how-binance-p2p-contributes-to-plummeting-naira-value

That was when I was still pondering on what the cooperation Binance is having with the Nigeria government capping the P2P rate as seen below:

https://punchng.com/forex-binance-adopts-price-cap-as-presidential-aide-advocates-ban

Now, as an active financial market trader, there is this broker I almost weekly withdraw $ from. The broker doesn't just set a price but draws it directly from its electronic trading platform with global correlation (No P2P). What I noticed since years back is that Binance's P2P rate is always higher than that of the broker, but suddenly after the pressure on Binance, the broker's price is now more than Binance's price.

If you read the second link above, you will discover that Binance promised that it would "cap" the P2P rate. Is that not what is happening now?

I understand on the part of Binance that it's the least they can do to save their business and reputation. But will they not be manipulating the price by the capping? What I believe they are now doing is knowing the prevailing rate elsewhere and removing some Naira value from it to form the P2P price. This could mean that the Binance P2P rate will be lagging from now, and in a plain term, you will be paid less for your $ henceforth if this is true though it won't be announced.

This is still young, so I will continue to check for the difference to be more rigid about the suspicion and keep you posted.

[Charles-Tim]

If you read the second link above, you will discover that Binance promised that it would "cap" the P2P rate. Is that not what is happening now?

I posted what I noticed on Binance yesterday:

On Binance P2P, I can see many accounts restricted...

It was the cap that was referred to. I think Binance will not have to look for elsewhere to cap the rate but they are capping it by some ads restrictions of people that they think are manipulating the market.

So if you asked if that is what that is happening? Indirectly Binance is capping the rate by restricting some ads.


This is P2P, you can check other exchanges before selling your coins. Go for the best rate if you do not care about privacy.

[cabron]

CBN must be trying to cut binance from operating the Nigerian market and like every other country that has been banning Binance these days, it might just take a few months as well before Binance will be blocked too in Nigeria. Yes, you should be worried because it's not just Binance that will be banned but several others for which the p2p market will not be available anymore.  Well, there are other exchanges, you can only hope CBN will not look into them.

For being a conspiracy theory, maybe it's true this is a coordinated attack on Binance. It's just as simple as you just said. If your economy is good your currency will be good.

[Ever-young]

This is P2P, you can check other exchanges before selling your coins. Go for the best rate if you do not care about privacy.

Kucoin seems to be offering one of the best rate than Binance between yesterday and today but the number of traders and trading volume seems to be less when you compare it to Binance. But those who set rate of 1900/$1 on Kucoin and other exchanges seems to be doing just that to keep the price there but when you click on sell to sell your USDT to them they fail to finish the order most of them wait till time runs out and the trade will cancel I believe the set of people with such behavior are those Binance is restricting their orders.

[Charles-Tim]

Kucoin seems to be offering one of the best rate than Binance between yesterday and today but the number of traders and trading volume seems to be less when you compare it to Binance.

The number of traders and trading volume do not matter as long as you see buyers or sellers that can trade with you at a good rate.

But those who set rate of 1900/$1 on Kucoin and other exchanges seems to be doing just that to keep the price there but when you click on sell to sell your USDT to them they fail to finish the order most of them wait till time runs out and the trade will cancel I believe the set of people with such behavior are those Binance is restricting their orders.

This is the type of manipulation that was talked about on the first link in the OP. I avoid those selling with to good to be true rates. I think we all know that. But probably some people may fall victim in a way the trade will be cancelled or in a way the buyer or seller will tell the trader that he will deduct some amount of money. It will be good if exchanges can restrict ads like that. We have exchanges to be blamed for that.

[Mate2237]

I will take this article most the first link as true because there early this year which last month I been wan sell Bitcoin in Binance which was worth 0.017 and the first buyer said he go remove something before he go pay me and I say no him cancel di deal, I come place am again di same thing for another person again. I tried am for like 3 6times all di same and one of dem come tell me shey all the people  wey dey for dat first line with ads na scammers so I come dey conclude shey I no go sell for that first line of people again.

So when I see dis your thread today I come dey remember say dat kind thing be don happened to me before and all di things di article talk e dey true. Na so dem dey do for that first page on Binance. So be careful with them.

[Antotena]

CBN must be trying to cut binance from operating the Nigerian market and like every other country that has been banning Binance these days, it might just take a few months as well before Binance will be blocked too in Nigeria. Yes, you should be worried because it's not just Binance that will be banned but several others for which the p2p market will not be available anymore.  Well, there are other exchanges, you can only hope CBN will not look into them.

For being a conspiracy theory, maybe it's true this is a coordinated attack on Binance. It's just as simple as you just said. If your economy is good your currency will be good.

Nigerians are opportunist and that's why this Binance thing escalated. You can't blame CBN for taking yester measures because Binance comfirmed that some groups were actually manipulating the price of Naira in P2P and they put a cap to the price they can sell dollar to people but CBN was harsh in the way they were trying to shut down everything. Due diligence should be done and announced to people if they really want to shut down Binance in Nigeria, our main problem is that we don't know how to enforce things, we do it anyhow because I was surprised when I couldn't access Binance yesterday but this morning it came back and that must be stupid MTN that started it.

Apart from the fact that prices were manipulated, closing down Binance wouldn't stop Naira depreciation. They should fixed the economy and they don't need to run after exchanges and Beureu De change for trying to make a living. It's even funny that they were arresting BDC that were licnenced and recognized by law. Even this dropped is just a temporary, if they don't find main solution to this Naira it will hit ₦2k before June.

[Churchillvv]

The government and it's agencies are not actually dump in there actions but the truth remains that they leave the real issues and go after shadows. in every lie there is an atom of truth, now we are truly seeing some sense in their actions but the aspect of trying to shutdown an exchange like binance is absolutely a conspiracy as said by the OP.
If properly examined Nigeria government is working hand in hand with other governments to tire down binance totally, and believe me Nigeria as a nation deeps on this external forces for its rules. most people say that we aren't completely independent nation I could see reasons with them.

I know for sure that it won't last for long its the same Nigeria that we all know everything always shakes the table for while then it dies off. so it will be in this case of naira and dollar saga, but if the government does take active measures against fuel price and other important things the inflation will be on a rise.

[Benedictare]

   I bin talk am last time wey dem say na cryptocurrency dey make dollar scarce,say dem  o like as the youths dey happy say dem wan strike us bad belle, now them leave the main issues wey dem go attend to dey face youth ,no be dem full dollars for their houses dey spend for dis country wey be naira be our currency?,no be dem elders spend dollars for dem election? As we dey talk now , dollars  no full for dem houses? But na y  our leaders
no fit let sleeping dog lie peacefully,for dem time wey dem be youth wen dem Finish school dem go give them beta work,house,and motor to start life with,but c us now for our time dem say make we go learn hand work and make we think wetin we go do for we country no be wetin we country go do for us, we accept am ,now wey we don learn crypto finish we don leave dem ,dem still dey find us , now wetin dat primary student  talk for north e bad?
  Now dem say na youths be dem problem say we dey crypto  dem dey band ,them leave the main problem dey chase shadow and no b say dem no know d problem o, dem just dey vex say boys no dey street again they are now smiling, there is God ooooooooo

[sokani]

With the regulatory heat wey Binance dey go through right now with so many countries, dem no want add Nigeria to the list, and I believe say na the reason why them quickly comply with Nigerian government to cap the maximum amount for USDT.

Nigerians dey among the countries wey dey actively use Binance exchange to trade and with this development now, na bad business for Binance as them go lose many of their customers because people go begin go back to P2P trade for telegrams and WhatsApp to take run their package. This move e no make sense and e no go help revive the dollar in anyway.

[Su-asa]

With the regulatory heat wey Binance dey go through right now with so many countries, dem no want add Nigeria to the list, and I believe say na the reason why them quickly comply with Nigerian government to cap the maximum amount for USDT.

Nigerians dey among the countries wey dey actively use Binance exchange to trade and with this development now, na bad business for Binance as them go lose many of their customers because people go begin go back to P2P trade for telegrams and WhatsApp to take run their package. This move e no make sense and e no go help revive the dollar in anyway.

Normally this one sharp, binance exchange done already dey on hot seats from different countries but me dey think am say maybe na only binance na this governments them know already, moreover them get more than 10+ exchanges wey dey run many things like the wey binance dey package their things but the government no dey lite fire to those exchanges. I been done see those news since and I never get more time to put eyes on them na make I no really know wetin dey xup since, but these few days I done see some topics about the small changes we most of this exchanges won do from this our local board. Although I no go believe am untill I witness am. However if binance to really agree to Nigerian government na be say make them already get ready to lose their costumers because everyone wants the best and for government to tell exchange to reduce the rate between dollars to naira will not make any change, so they should focus on what will make a change in our country and not the other way.

[EarnOnVictor]

This is P2P, you can check other exchanges before selling your coins. Go for the best rate if you do not care about privacy.

If they can be successful in threatening Binance and making them yield into manipulating the P2P rate in favour of NGN. Don't you think it's a matter of time before they reach out to their rivals to achieve the same aim? In this process, won't they be successful in reducing the rate and eventually cheat us the sellers? I am still observing though.

Well, there are other exchanges, you can only hope CBN will not look into them.

That is it, other exchanges would be a target as well. I think DEX will be the way out of the issue if it escalates more than this, especially if Binance doesn't allow Nigeria to use VPN afterwards.

Kucoin seems to be offering one of the best rate than Binance between yesterday and today but the number of traders and trading volume seems to be less when you compare it to Binance

This can't be for long because the traders and trading volume may soon increase drastically with Kucoin if people are finding better rates with the exchange and other Binance rivals. This is why Binance should think twice too. Such a market switch due to a situation like that is normal, and it could only mean that Binance will miss a lot of patronage due to this.

You can't blame CBN for taking yester measures because Binance comfirmed that some groups were actually manipulating the price of Naira in P2P and they put a cap to the price they can sell dollar to people

This is serious, you mean they agree that some people are manipulating it? I would like to read this from you. Please, post a link.

What I read that Binance posted was this:

According to Binance in a blog post on its website on Wednesday, its P-2-P platform is market-driven and not for currency pricing in Nigeria.

It said, “Binance provides a P2P marketplace, not as a price discovery platform. To be clear: it is market-driven and is not intended to be a proxy for currency pricing in Nigeria.

“To protect users, and to prevent any abuse, our system automatically pauses in the event of a period of significant currency movement.

Apart from the fact that prices were manipulated, closing down Binance wouldn't stop Naira depreciation. They should fixed the economy and they don't need to run after exchanges and Beureu De change for trying to make a living. It's even funny that they were arresting BDC that were licnenced and recognized by law. Even this dropped is just a temporary, if they don't find main solution to this Naira it will hit ₦2k before June.

That's it, although they can't close Binance down, they can only restrict access to it. But still, I believe that the pressure on Naira will not stop so soon. The government should tackle the issue from the root source and not from the surface the way they've been attempting it.

[Mr.suevie]

This is P2P, you can check other exchanges before selling your coins. Go for the best rate if you do not care about privacy.

Kucoin seems to be offering one of the best rate than Binance between yesterday and today but the number of traders and trading volume seems to be less when you compare it to Binance. But those who set rate of 1900/$1 on Kucoin and other exchanges seems to be doing just that to keep the price there but when you click on sell to sell your USDT to them they fail to finish the order most of them wait till time runs out and the trade will cancel I believe the set of people with such behavior are those Binance is restricting their orders.

People for naija sef na one of the major reason why this thing with binance trend like this and me sef come dey surprise because I really think the same thing with you from the onset wey I hear all this rumours concerning the government shutting down binance. Many vendors for binance are found of doing all these things by setting the price value very high and making people to book trade with them which at the long run they will still end up cancelling the trade.

[Franctoshi]

I really want to get somethings clear here, does it mean that the Nigerian exchange market (Dollar/Naira rate) is controlled on Binance P2P platform alone? I'm still trying to get this clear, and someone should put me through how what is happening on Binance is controlling the entire exchange rate that the Federal government has to call on Binance to intervene according to news, I think this government don't really know what to do to tackle the situation in my opinion.

[letteredhub]

From the link in the op as read, binance claims that it's action is to protect it' users, now the real question that underlies is that, who are these users the binance exchange is claiming to protect? Because from all I see is that binance is only playing to the coercive tone of the Naija government and to indirectly save itself from the troubles of the government leaving it users to bear the conditional effect of this so-called market capping. Another indication of the true color of what a centralized system can be.

[Iamcrypticguy]

With the regulatory heat wey Binance dey go through right now with so many countries, dem no want add Nigeria to the list, and I believe say na the reason why them quickly comply with Nigerian government to cap the maximum amount for USDT.

Nigerians dey among the countries wey dey actively use Binance exchange to trade and with this development now, na bad business for Binance as them go lose many of their customers because people go begin go back to P2P trade for telegrams and WhatsApp to take run their package. This move e no make sense and e no go help revive the dollar in anyway.

Normally this one sharp, binance exchange done already dey on hot seats from different countries but me dey think am say maybe na only binance na this governments them know already, moreover them get more than 10+ exchanges wey dey run many things like the wey binance dey package their things but the government no dey lite fire to those exchanges. I been done see those news since and I never get more time to put eyes on them na make I no really know wetin dey xup since, but these few days I done see some topics about the small changes we most of this exchanges won do from this our local board. Although I no go believe am untill I witness am. However if binance to really agree to Nigerian government na be say make them already get ready to lose their costumers because everyone wants the best and for government to tell exchange to reduce the rate between dollars to naira will not make any change, so they should focus on what will make a change in our country and not the other way.

But it's not binance that's making naira to skyrocket.. I think Nigeria govt are chasing shadows.  they should tackle the source, export more than you import and make the economy favourable aha. Anyways any good cex someone can use their p2p for now with good rates..

[TheVeteranAngel]

With the regulatory heat wey Binance dey go through right now with so many countries, dem no want add Nigeria to the list, and I believe say na the reason why them quickly comply with Nigerian government to cap the maximum amount for USDT.

Nigerians dey among the countries wey dey actively use Binance exchange to trade and with this development now, na bad business for Binance as them go lose many of their customers because people go begin go back to P2P trade for telegrams and WhatsApp to take run their package. This move e no make sense and e no go help revive the dollar in anyway.

Normally this one sharp, binance exchange done already dey on hot seats from different countries but me dey think am say maybe na only binance na this governments them know already, moreover them get more than 10+ exchanges wey dey run many things like the wey binance dey package their things but the government no dey lite fire to those exchanges. I been done see those news since and I never get more time to put eyes on them na make I no really know wetin dey xup since, but these few days I done see some topics about the small changes we most of this exchanges won do from this our local board. Although I no go believe am untill I witness am. However if binance to really agree to Nigerian government na be say make them already get ready to lose their costumers because everyone wants the best and for government to tell exchange to reduce the rate between dollars to naira will not make any change, so they should focus on what will make a change in our country and not the other way.

But it's not binance that's making naira to skyrocket.. I think Nigeria govt are chasing shadows.  they should tackle the source, export more than you import and make the economy favourable aha. Anyways any good cex someone can use their p2p for now with good rates..

All of us know say naija govt na clout chaser, Lai Muhd and Buhari government naim start to ban crypto, come ban Twitter join but all still no work for them. If to say Dem no ban crypto, we for no dey talk of P2P and banks and government for dey generate cool revenue but as Dem no get sense, make Dem continue. Binance is just unfortunate because they are the largest Cex although the exchange get hin own for body sha. Why the thing no too touch me na because I no dey really use binance and the exchange wey I dey use dey serve me well. Maybe you should check out Bitget coz their P2P is just like that of Binance. Mexc ná another good exchange but Dem no get usdt/naira pair on their platform.

[EarnOnVictor]

With the regulatory heat wey Binance dey go through right now with so many countries, dem no want add Nigeria to the list, and I believe say na the reason why them quickly comply with Nigerian government to cap the maximum amount for USDT.

Nigerians dey among the countries wey dey actively use Binance exchange to trade and with this development now, na bad business for Binance as them go lose many of their customers because people go begin go back to P2P trade for telegrams and WhatsApp to take run their package. This move e no make sense and e no go help revive the dollar in anyway.

Normally this one sharp, binance exchange done already dey on hot seats from different countries but me dey think am say maybe na only binance na this governments them know already, moreover them get more than 10+ exchanges wey dey run many things like the wey binance dey package their things but the government no dey lite fire to those exchanges. I been done see those news since and I never get more time to put eyes on them na make I no really know wetin dey xup since, but these few days I done see some topics about the small changes we most of this exchanges won do from this our local board. Although I no go believe am untill I witness am. However if binance to really agree to Nigerian government na be say make them already get ready to lose their costumers because everyone wants the best and for government to tell exchange to reduce the rate between dollars to naira will not make any change, so they should focus on what will make a change in our country and not the other way.

But it's not binance that's making naira to skyrocket.. I think Nigeria govt are chasing shadows.  they should tackle the source, export more than you import and make the economy favourable aha. Anyways any good cex someone can use their p2p for now with good rates..

Well, Binance is not the real enemy, our government is. However, as I'd hinted since 2022, crypto hurts the Nigerian economy also due to some unexplainable FX inflows through it. By fighting Binance which is the strongest of exchanges, they are limiting crypto transactions among the faint in heart Nigerians. Many will not send their FX inflow through crypto again but traceable centralised systems and banks, especially those who are in the diaspora who used exchanges like Binance for cheap fees.

No wonder Cardoso said a $1.5B FX inflow was recorded in days and this effect is now getting obvious. The pressing issue wouldn't have been necessary if our government were up and doing. They would know the FX inflow and outflow through Binance and also tax them and Nigerians adequately. This would have been a win-win for everybody.

I really want to get somethings clear here, does it mean that the Nigerian exchange market (Dollar/Naira rate) is controlled on Binance P2P platform alone?

That baffles me as well, it is our weak economy that makes it seem so. Although speculation is powerful in the market, regardless, when the economy is stable, nothing external and speculative toward the FX can be significant. This is evident in other countries, are exchanges not offering P2P there as well? Why is it not affecting/controlling their exchange rates?

With the regulatory heat wey Binance dey go through right now with so many countries, dem no want add Nigeria to the list, and I believe say na the reason why them quickly comply with Nigerian government to cap the maximum amount for USDT.

Nigerians dey among the countries wey dey actively use Binance exchange to trade and with this development now, na bad business for Binance as them go lose many of their customers because people go begin go back to P2P trade for telegrams and WhatsApp to take run their package. This move e no make sense and e no go help revive the dollar in anyway.

Normally this one sharp, binance exchange done already dey on hot seats from different countries but me dey think am say maybe na only binance na this governments them know already, moreover them get more than 10+ exchanges wey dey run many things like the wey binance dey package their things but the government no dey lite fire to those exchanges. I been done see those news since and I never get more time to put eyes on them na make I no really know wetin dey xup since, but these few days I done see some topics about the small changes we most of this exchanges won do from this our local board. Although I no go believe am untill I witness am. However if binance to really agree to Nigerian government na be say make them already get ready to lose their costumers because everyone wants the best and for government to tell exchange to reduce the rate between dollars to naira will not make any change, so they should focus on what will make a change in our country and not the other way.

But it's not binance that's making naira to skyrocket.. I think Nigeria govt are chasing shadows.  they should tackle the source, export more than you import and make the economy favourable aha. Anyways any good cex someone can use their p2p for now with good rates..

All of us know say naija govt na clout chaser, Lai Muhd and Buhari government naim start to ban crypto, come ban Twitter join but all still no work for them. If to say Dem no ban crypto, we for no dey talk of P2P and banks and government for dey generate cool revenue but as Dem no get sense, make Dem continue. Binance is just unfortunate because they are the largest Cex although the exchange get hin own for body sha. Why the thing no too touch me na because I no dey really use binance and the exchange wey I dey use dey serve me well. Maybe you should check out Bitget coz their P2P is just like that of Binance. Mexc ná another good exchange but Dem no get usdt/naira pair on their platform.

The Nigerian government is not a clout chaser here, I can't just see the link between what is happening and that remark. We can only say that our government is clueless and even confused. Nevertheless, you are very right about the government causing the P2P to thrive, it could have been the internal withdrawal where the transactions would be well-monitored and accounted for for the taxes to be easily dedicated. I hope they would still not say that Binance is artificially setting the price as alleged.

As for the alternative to Binance, the transaction continues even as Binance stopped the NGN services. I am using Bybit and Kucoin now.