The Central Bank of Nigeria recently banned most cryptocurrencies, ranging from Bitcoin to Ethereum. The CBN firmly stands by its decision to ban digital currencies, stating cryptocurrencies create fraud and money laundering opportunities. The CBN specifically mentioned how cryptocurrencies could be used to purchase illegal items, such as drugs. The CNB referred to a darknet website used to purchase, trade, and sell illicit substances and illegal goods. By banning digital currencies, the CBN hopes to minimize terrorism and financial crimes.
Nigerian residents haven’t been shy to express their negative responses to the cryptocurrency ban. Several Nigerians stated the crypto ban has nothing to do with preventing crime but is an attempt to punish recent Nigerian SARS protestors. The Central Bank of Nigeria will stand by its decision to ban Bitcoin and digital assets, stating the ban isn’t a punishment for anything. During the November 2020 protests, the CBN admittedly froze the financial assets of active protest to end the protest by financially snuffing it.