Nigeria’s standing in the global cryptocurrency realm is at risk as the government intensifies its crackdown on local exchanges. However, Oladotun Wilfred Akangbe, the chief marketing officer of Flincap crypto exchange, believes that the country can withstand the challenges.
In an interview with Cointelegraph, Akangbe expressed his concerns about Nigeria’s reputation in the international crypto market following recent events. However, he also emphasized that Nigeria has overcome more severe obstacles in the past.
In February, the Nigerian government collaborated with the country’s telecommunication providers to block local crypto users from accessing the websites of various crypto exchanges, including Binance and OctaFX.
Subsequently, authorities accused Binance of unlawfully transferring $26 billion out of the country and invited the exchange to send representatives for discussions on the matter.
As a response to the allegations of currency manipulation, Binance executives Tigran Gambaryan and Nadeem Anjarwalla visited Nigeria in February. However, after the meeting with Nigerian officials to address Binance’s regulatory concerns, the executives were detained and faced charges related to money laundering. Anjarwalla managed to escape custody and was later located in Kenya, where he now faces extradition.
Akangbe acknowledged that controversies within Nigeria’s crypto sector are to be expected, considering the country’s increasing adoption of cryptocurrencies. He emphasized Nigeria’s significant role as a global cryptocurrency user and blockchain adopter, and he remains optimistic about the future of crypto in the country.
According to Akangbe, the prevailing sentiment in Nigeria towards crypto is a mix of enthusiasm and caution. While there is excitement about the potential of the crypto industry, concerns persist regarding regulations, cryptocurrency volatility, and the risks of scams and fraud.
Akangbe clarified that the uncertainties arise from the ongoing back-and-forth between the Nigerian government and stakeholders in the crypto space. Local crypto analysts have expressed disappointment with the government’s unfavorable stance towards crypto in resolving the nation’s foreign exchange challenges.