Two senior executives at Binance have been arrested by security operatives in Abuja as the Federal Government cracks down on cryptocurrency exchanges in the country.

It was gathered that the Binance executives flew to Nigeria following the country’s decision to ban several cryptocurrency trading websites last week but they were arrested by the officials at the office of the National Security Adviser (NSA) on Wednesday, February 28, 2024.

It was learnt that the international passports of the executives were also seized by the security operatives.

The crackdown followed a period after several cryptocurrency websites emerged as platforms of choice for trading naira, which has suffered chronic dollar shortages.

The naira’s official exchange rate has been trading at levels close to the parallel market level after the currency was devalued last month, its second adjustment in less than a year.

Bitcoin nears $60,000 for first time in over 3 years

Nigeria, Africa’s largest economy, has been experiencing crippling dollar shortages that have pushed its currency to record lows after foreign investors left the country following a previous oil price collapse and the introduction of capital controls in 2015.

Binance has however spoken on the arrest of its officials as of press time.

Meanwhile, bitcoin recorded its biggest monthly gain in more than three years on Thursday, February 29, and it is within range of a record high as cash rushing to listed bitcoin funds propels a sweeping rally.

The largest cryptocurrency by market capitalisation was steady in Asia morning trade at $61,100, having changed hands at as high as $63,933 overnight. Its monthly gain is more than 44 per cent, the largest since December 2020.

It is pulling the smaller ether along for the ride – it last bought $3,416, up 50 per cent in February, according to Reuters.

The momentum suggested “a test and likely break” of $69,000, said Tony Sycamore, an analyst at brokerage IG Markets, which would put bitcoin beyond its record high set in the heady days of crypto peaks in November 2021.

The Star