Cryptocurrency exchange Binance has announced the addition of an NGN FIAT/NGN pair to its Peer to Peer (P2P) trading platform in Nigeria.
This will enable users to buy and sell their naira FIAT balance on the platform with no transaction fees through bank transfer and other payment methods, according to the cryptocurrency trading platform.
Earlier this month, following the ban on cryptocurrency trading in Nigeria by the Central Bank of Nigeria (CBN), Binance excluded naira from its trading pairs.
It had said, “Binance will remove and cease trading on the following trading pairs at 2021-02-09 12:00 PM (UTC): BNB/NGN, BUSD/NGN, DOT/NGN, ETH/NGN, LINK/NGN, LTC/NGN, TRX/NGN, XRP/NGN.”
However, the platform announced the addition of an NGN FIAT/NGN pair to its P2P trading platform alongside the launch of an Express Mode for buying and selling cryptocurrencies like BTC, USDT, BUSD, BNB, ETH, and DAi with the naira.
With the P2P Express Mode, traders can place an order directly by “entering the fiat or crypto amount and the preferred payment method. The orders are matched based on the best crypto price available in the P2P markets,” it stated on its website.
It added that for users to gain access to the P2P Express Mode, users would need to pass an identity verification (KYC) with their residence information in Nigeria.
It also added a disclaimer that stated, “Your use of the Binance P2P services and all information and other content (including that of third parties) included in or accessible from the Binance P2P services is at your sole risk. Our only responsibility is to handle your payment transaction.
“All payments are final upon completion unless otherwise required by law. Binance P2P platform has neither the rights nor the obligations to resolve any disputes arising from a completed payment.
“Neither Binance P2P platform nor merchants shall be responsible for your loss in a completed payment unless your loss is due to the merchant’s fraud or misleading.”
CBN’s Ban on Cryptocurrency Trading
The apex bank had announced a ban on cryptocurrency trading, directing all financial institutions to close all accounts linked to cryptocurrency trading.
The CBN’s circular said, “The recent regulatory directive became necessary to protect the financial system and the generality of Nigerians (including the youth population) from the risks inherent in crypto assets transactions, which have escalated in recent times, with dire consequences for the integrity of the financial system and financial stability.
“Due to the fact that cryptocurrencies are largely speculative, anonymous and untraceable they are increasingly being used for money laundering, terrorism financing and other criminal activities.
“Small retail and unsophisticated investors also face high probability of loss due to the high volatility of the investments in recent times.
“In light of these realities and analyses, the CBN has no comfort in cryptocurrencies at this time and will continue to do all within its regulatory powers to educate Nigerians to desist from its use and protect our financial system from activities of fraudsters and speculators.”