The Federal Government, through the Office of the National Security Adviser, is set to summon executives from various cryptocurrency platforms in the country for questioning.

This action comes on the heels of the recent detainment and interrogation of two senior executives from Binance by the NSA’s office.

On Wednesday, the Financial Times reported the detention of the Binance executives in Nigeria. Sources revealed that this is part of a broader initiative as more cryptocurrency operators are expected to be invited to explain their operations in the country.

Insiders familiar with the matter confirmed that the National Security Adviser, Nuhu Ribadu, is actively working on implementing recommendations from a report by the Nigerian Financial Intelligence Unit (NFIU). The NFIU report flagged cryptocurrency platforms, citing concerns about their potential role in terrorism financing and other criminal activities, adversely impacting the national currency (Naira) and security.

Cryptocurrency operators are being summoned to address alleged illegalities on their platforms, seen as contributing to corruption in the country. The recent crackdown follows the Federal Government’s decision just over a week ago to block trading on cryptocurrency platforms, instructing telecom companies to restrict access to their websites. Affected platforms included Binance, OctaFx, and Coinbase.

The detained Binance executives, an American and a British-Pakistani arrived in Nigeria following the platform’s ban. A day before news of their detention surfaced, the Governor of the Central Bank of Nigeria, Yemi Cardoso, revealed that an astonishing $26 billion had flowed through Binance Nigeria in the past year from unidentified sources.

“We are concerned that certain practices go on that indicate illicit flows, going through a number of these entities and suspicious flows,” Cardoso told journalists after his first Monetary Policy Committee meeting.

“In the case of Binance, in the last year, $26 billion has passed through Binance Nigeria from sources and users who we cannot adequately identify.”

According to informed sources, the ongoing crackdown is aimed at setting a precedent, discouraging others from utilising cryptocurrency platforms for illicit activities that undermine the integrity of the Nigerian financial system.

A task force, comprising the NSA’s office, the Central Bank of Nigeria, the Nigeria Police Force, the Economic and Financial Crimes Commission, the Nigeria Customs Service, and the NFIU, is actively engaged in apprehending currency speculators and tackling issues that pose threats to the economic stability of the nation.

The post FG Questions Binance Executives on $26B Flow Amid Security Concerns first appeared on MegaIcon Magazine.

The post FG Questions Binance Executives on $26B Flow Amid Security Concerns appeared first on MegaIcon Magazine.