Nigeria’s Crypto Community Slams Government’s Stance on Exchanges
Nigeria’s crypto community has expressed their dissatisfaction with the government’s recent anti-industry stance, which includes accusing centralized cryptocurrency exchanges of market manipulation and sabotage. However, the majority of digital asset users and policy watchers argue that these exchanges are not responsible for the falling value of the naira, Nigeria’s currency. Instead, they blame bad policies, government corruption, and reckless spending for the decline. The naira has plummeted 70% against the dollar since June 2023 due to these factors.
Nigerians Blame Bad Policies for Plunging Naira
Traders in Nigeria believe that cryptocurrencies like Bitcoin and centralized exchanges are not to blame for the devaluation of the naira. They attribute the current predicament to government corruption and policies adopted by the previous administration. For instance, it is alleged that an additional 50 to 60 billion naira was printed and distributed among states in 2021, leading to economic troubles.
Moreover, critics of the ruling party’s monetary policies argue that they are focusing on the wrong issues by targeting Binance and implementing restrictions on USDT sales instead of addressing fundamental problems. These individuals predict further devaluation of the naira if these issues persist.
Nigeria’s Harsh Crypto Strategy
In response to the declining value of the naira, Nigerian government officials have blamed centralized cryptocurrency platforms for market manipulation. As a result, they have taken action by arresting some currency traders who lacked licenses and are seeking to ban exchanges by asking telecom providers to limit access to their websites. Although this ban has not yet been implemented, users are concerned about its potential impact on their assets and ease of trading tokens.
The Presidential adviser on Information and Strategy has accused crypto exchanges of sabotaging government efforts and has called for regulatory agencies to take action against them. However, the crypto community believes that these measures are misguided and will not address the underlying issues affecting the naira.
Hot Take: Government Should Address Real Issues Instead of Blaming Crypto
The Nigerian crypto community argues that the government’s focus on blaming centralized exchanges and implementing restrictions is a distraction from the real problems plaguing the economy. They believe that addressing issues such as corruption, reckless spending, and bad policies should be the government’s priority instead of targeting the crypto industry. Only by tackling these root causes can Nigeria hope to stabilize its currency and foster economic growth.
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