The protesters say they want immediate action from the government to help reduce the soaring cost of living in the country.
Related story: Protests in Nigeria over skyrocketing inflation as local currency hits record low value
Naira hits record lows, stocks sink
The Nigerian government is considering blocking the online platforms of Binance and other crypto firms to avert what it considers continuous manipulation of the forex market and illicit movement of funds, officials with knowledge of the policy option have told PREMIUM TIMES.
The recent unprecedented weakening of the Nigerian currency has seen the naira falling to all-time low of N1,800 to a dollar in the parallel market.
Presidency and regulatory sources say the government decided to move against Binance and other crypto firms following reports that currency speculators and money launderers were using them to execute criminal activities. Authorities believe the ‘criminal activities’ going on on platforms are contributing significantly to the weakening of the naira.
Binance, a digital assets platform, serves as a window for peer to peer transaction allowing users to advertise interest to sell or buy currencies of their choice.
In September 2023, Nigeria’s Securities and Exchange Commission (SEC) placed a disclaimer on Binance Nigeria Limited, saying the platform was “neither registered nor regulated by the Commission and its operations in Nigeria are therefore illegal”.
Despite the warning by the regulatory agency, the firm continued its operation, attracting huge patronage especially among urban youths and suspected speculators and money launderers.
Aside suspicions of economic sabotage, officials also speak of national security concerns as the platforms are often patronised by other criminal groups including for payment of ransom.
Law enforcement sources say the digital asset platforms are also routinely deployed for manipulation of forex values through fake deals that serve to prop up values or cause a fall.
A source at the Economic and Financial Crimes Commission (EFCC) involved in probing criminal complaint against digital asset platforms, who was however not authorised to speak to the press, described the process as a “sophisticated heist against the Nigerian economy”.
According to her, by allowing simultaneous opening of buy and sell windows for a single user, manipulators often fake interest to sell dollars which they then buy at a speculated rate to themselves through the buy window.
“This therefore gives the dollar a fake value against the naira which then sets a frenzy and mislead the market. This fake price is then often quoted by BDCs who raise their prices to meet the Binance benchmark even without any corresponding demand in that segment,” she said.
A senior executive at the Central Bank of Nigeria (CBN) described as “troubling” the bearish downward trade of the naira against the dollar in the last 10 days, attributing it to artificial devaluation caused by the speculative sites.
“Through manipulative rent seeking, Binance’s global reach results in higher USD to NGN exchange rates often being used as a benchmark for currency trading, misleadingly devaluing the Naira in global markets.”
But he added that trading on the platform is encouraged by activities of money-launderers and terrorist financiers “who have no qualms with the arbitrage”.
“We started noticing this sharp trend from February 9, and since then it has caused significant devaluation of the naira against the USD. This is simply criminal,” he said.
Binance has had similar accusations of currency manipulation and unethical conduct leading to sanctions in many countries and an ongoing lawsuit in the United States.
If the government decides to invoke a ban on the digital asset trading site it would be treading the path of countries like Malaysia, France and Malta, among others.
The Office of the National Security Adviser (ONSA) had announced Tuesday that it was joining forces with the Central Bank of Nigeria to clamp down on currency speculators and economic saboteurs.
The Head of Strategic Communication at ONSA, Zakari Mijinyawa, hinted in his Tuesday statement that individuals and organisations involved in wrongful activities in Nigeria’s Forex market would be identified, investigated and penalised.
Contacted on Thursday night on the planned clampdown on Binance and other crypto firms, Mr Mijinyawa said he was at an “important meeting”. He did not answer or return subsequent calls made to him.
Binance could not be reached Wednesday morning. Multiple calls to a customer service number listed for it rang out unanswered.
By Abdulrahman Abdulmalik, Premium Times
Related story: Video - Central Bank of Nigeria gives guidelines on cryptocurrency
Davido made this revelation in an Instagram post on Tuesday.
The pledge on Tuesday, February 20 is an outcome of the Adeleke Foundation founded by Davido in 2022 with the help of other charitable organisations, in a bid to help vulnerable children.
In July 2023, he announced the foundation donated over 200 million to orphanages in the country and 13,818 children benefited from it. He also promised to donate some more money in 2024.
In the press release posted at the time he said: "I founded the DAF in 2022 with a strong desire and passion to continually assist and create a proper framework for the ongoing charitable works to benefit the good people of Nigeria...", arts and entertainment online portal xtribeafrica reported.
The charitable tradition began back in 2021 after the singer's birthday, when he made over ₦200 million in donations after sharing his bank account details on his Twitter (now X) page.
Nigeria’s defense chief expressed frustration Tuesday with what he called the “double standards” of some countries that won’t sell his military weapons because of human rights concerns.
Gen. Christopher Musa’s comment underscores one of the biggest challenges for Africa’s most populous nation in combating a deadly and complex security crisis, from the Islamic militant insurgency in northeast to the dozens of armed groups targeting travelers and communities in the northwest and central regions.
“Even with our money, it is difficult getting equipment,” Musa told reporters in Nigeria’s capital of Abuja, acknowledging a huge need for items such as helicopters, drones and Mine Resistant Ambush Protected (MRAP) vehicles.
“Some say human rights, some say ‘You have killed’ … but again, sometimes, people pointing fingers at you have done worse and yet nobody is holding them to account. It is these double standards that (are) making the world more dangerous,” Musa said.
He declined to name the countries in question when asked by The Associated Press.
Nigeria’s security forces for many years have faced allegations of extrajudicial killings and illegal arrests. The United States and other major arms suppliers at one point or another have withheld the sale of weapons over those accusations.
In December, at least 85 civilians were killed when a Nigerian army drone erroneously targeted a religious gathering in northwest Kaduna state, the latest of several such incidents.
Musa said Nigeria’s military has continued to improve on its human rights record and is holding its personnel to account. Alleged abuses are often investigated, and a report on the December incident will be released soon, he said.
“The Nigerian Armed Forces have the capacity to secure Nigeria (and) the entire region,” Musa said, but added that the lack of needed weapons will continue to limit that capacity.
However, there is little evidence to show that Nigeria’s military has improved on its human rights record, according to Isa Sanusi, Amnesty International’s director in Nigeria.
“Protecting civilians should be their priority (and) they should look at all human rights violations they have committed to ensure accountability,” Sanusi said.
U.S. military support to Nigeria has at times included training on how to mitigate risks to civilians, according to a State Department statement in January on security cooperation. It said that in August, Nigeria delivered the first payment for 12 attack helicopters worth a total of $997 million.
By Chinedu Asadu, AP
Six residents, including the ward head, Haruna Wakili, were killed when terrorists attacked Yar Nasarawa, a community in Faskari Local Government Area of Katsina State on Monday.
Residents said the terrorists abducted about 38 residents, including women and children and left 10 residents with gunshot injuries. They also burnt down six houses, eight commercial vehicles and shops in the community.
Yar Nasarawa is less than five kilometres away from the Army Super Camp situated in Faskari. The camp was established by the former Chief of Army Staff, Tukur Buratai, in 2018.
“The attackers came prepared. I have never seen them in such number,” a resident, Auwal Liman, who said he ran into the bush during the attack, said. “While some of them were shooting indiscriminately, others were putting vehicles and shops on fire.”
The terrorists stormed the community around 11 p.m. and blocked all entries and exits to ward off support from the military and members of the Community Watch Corps in the area.
The six dead residents were buried Tuesday morning in the community, according to Mr Liman.
“We are in a sorry situation. We can’t go to the farm. When we stay away from our farms and local markets, the terrorists follow us into our communities and kill us. Our lives hardly matter,” Mr Liman lamented.
Motorcycle-riding terrorists have been unleashing mayhem on residents in the north-west for over a decade. leading to layers of humanitarian crises in the sub-region.
“The terrorists were merciless in yesterday’s attack,” a resident, Abdullahi Adamu, said. “They burnt down a child. They took him inside his mother’s room set the room ablaze and slaughtered another old man in the same house. It was barbaric.”
Mr Adamu, who said he climbed a rock outside the community and waited till early morning, said he has lost hope in the government and security agencies.
The police spokesperson in the state, Abubakar-Sadik Aliyu, confirmed the attack to journalists in Katsina but did not provide the details.
“The Commissioner of Police, CP Aliyu Musa, had since deployed the command’s tactical, operational and intelligence to the scene, and currently combing the surrounding bushes for the possible arrest of the perpetrators for diligent prosecution,” Mr Aliyu said.
By Mohammed Babangida, Premium Times
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