Binance Clarifies Naira Trading Adjustments Amid Unusual Currency Movement

In response to recent complaints regarding restricted USDT transactions among Nigerian users, crypto giant Binance has explained its decision to make changes to trading operations on its platform.

According to a blog post published on Wednesday, these steps were taken “to protect users and prevent any abuse” during periods of significant currency movements.

Despite denying involvement in the broader forex crisis in Nigeria, Binance clarified that its platform operates independently without being a substitute for local currency pricing.

However, the company did confirm that they work closely with regulatory bodies worldwide to ensure transparency in cryptocurrency trading and its impact on financial markets.

These developments come after unconfirmed reports suggested that the Central Bank of Nigeria (CBN) may have requested Binance to impose caps on Nigerian traders’ sales of USDT.

As the Nigerian naira continues to depreciate against major global currencies like the British pound, reaching over N2,000 per £1, and crossing N1,800 per $1 on the peer-to-peer market, Binance assured its Nigerian customers that their funds remain safe and secure while maintaining its peer-to-peer product’s functionality with certain adjustments.

With continuous market surveillance and strict measures in place, such as removing non-compliant ads and permanently banning bad actors, Binance aims to safeguard its users from potential manipulation and fraudulent activities.

Despite these efforts, however, the exact nature of the unusual currency movement leading to Binance’s intervention remains uncertain.