Coinbase Pushes Back on Reports It’s Blocked in Nigeria

Exchange platform Coinbase is refuting recent reports claiming that it has been blocked in Nigeria. Multiple outlets had reported that other platforms, including Kraken and Binance, were also facing restrictions under government orders. However, a spokesperson for Coinbase confirmed that the platform remains accessible in Nigeria and that they are actively investigating the reports. These restrictions are believed to be linked to the struggling Nigerian naira and the country’s central bank’s concerns regarding the role of crypto exchange platforms in setting exchange rates.

Coinbase Pushes Back on Reports It’s Blocked in Nigeria

Background

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Coinbase Accessibility in Nigeria

Recent reports have surfaced suggesting that cryptocurrency exchange platform Coinbase has been blocked in Nigeria. However, Coinbase has issued a statement confirming that these reports are false. According to a spokesperson for the exchange, Coinbase.com remains accessible from Nigeria based on their initial investigation. While multiple local outlets and the Financial Times have reported that the Nigerian government ordered local telecommunications companies to block several platforms, including Binance, Coinbase, and Kraken, Coinbase denies these claims and continues to investigate further.

Government Orders

The Nigerian government reportedly issued an order to block several cryptocurrency exchange platforms, including Binance, Coinbase, and Kraken. Local telecommunications companies were instructed to take action on these orders. While Coinbase has refuted claims of being blocked in Nigeria, it is unclear whether other platforms mentioned in the reports, such as Binance and Kraken, have been affected. In July, Nigeria’s securities watchdog declared Binance’s activities in the country illegal. The exchange is yet to respond to the recent reports, and Kraken has declined to comment.

Issues with the Nigerian Naira

The reports of blocking cryptocurrency exchange platforms in Nigeria are said to be fueled by the struggles of the Nigerian naira, the country’s official currency. The naira has experienced record lows against the U.S. dollar in recent days. Moreover, Nigeria faced a severe cash shortage ahead of national elections last year. According to reports, crypto exchange platforms like Binance have been accused of “blatantly setting exchange rates for Nigeria,” which has led some to believe that these platforms are encroaching upon the responsibilities of the country’s central bank.

Calls for Further Bans

In light of the alleged blocking of cryptocurrency exchange platforms in Nigeria, there have been calls to ban other firms operating in the country’s cyberspace. Specifically, Kucoin and Bybit have been mentioned as potential candidates for banning. Bayo Onanuga, an advisor to Nigerian President Bola Tinubu, has stressed the need for these firms to be prohibited from operating in Nigeria’s digital realm.

Previous Actions Against Crypto

Nigeria has had a turbulent relationship with cryptocurrencies in the past. The Central Bank of Nigeria previously imposed restrictions on service providers’ access to banking services. However, the bank recently overturned these restrictions. Despite these regulatory challenges, Nigeria has emerged as a strong adopter of cryptocurrency, particularly for remittances.

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Author Information

This article was written by Sandali Handagama, the Deputy Managing Editor for Policy and Regulations, EMEA at CoinDesk. As an expert in policy and regulations surrounding cryptocurrencies, Sandali Handagama provides valuable insights and analysis. It is important to note that Sandali Handagama does not own any cryptocurrency, ensuring objectivity in reporting.

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In conclusion, despite reports suggesting that Coinbase has been blocked in Nigeria, the exchange has confirmed that it remains accessible in the country. The Nigerian government’s orders to block several cryptocurrency exchange platforms, including Binance, Coinbase, and Kraken, have raised concerns about the country’s stance on cryptocurrencies. Issues with the Nigerian naira and calls for further bans on firms operating in Nigeria’s cyberspace have added to the complexity of the situation. However, Nigeria’s previous actions against crypto, such as restrictions on service providers’ access to banking services, have been reversed, highlighting the country’s potential as an innovative and progressive adopter of cryptocurrencies. CoinDesk, as a trusted source of news and information, maintains a strong commitment to privacy, editorial integrity, and journalistic standards.