BTC Withdrawal to Bank Accounts is Prohibited in Nigeria

Nigeria's regulator bans financial institutions from supporting any cryptocurrency transactions

From now on, banks can not open accounts for individuals trading in cryptocurrency. All previously opened accounts will be closed. Violation of the order will result in huge fines.

Nigerian millennials weren't particularly upset about CBN's actions. As practice shows, those who wish will find an opportunity to earn money.

How the ban threatens Nigeria

Young people make up the majority of the 200 million people living in Nigeria. Due to the large number of millennials, interest in cryptocurrencies is higher here than ever.

In 2020, Nigeria has become the country with the most requests for Bitcoins. The trading volume here exceeded $400 million. Before the ban, cryptocurrency was actively used in local stores.

Against the background of the ban, on platforms such as Buycoins and Luno, some of the users' funds will freeze. Platform clients will not be able to withdraw them to bank accounts.

After the legislative changes, an outflow from Nigeria's crypto exchanges will begin, but in general, the situation will change little for the crypto market. Some users have already come up with workarounds.

For example, funds from exchanges are withdrawn to neighboring Ghana, where they will be converted into Nigerian currency and transferred to a bank account back to Nigeria.