In the past week, crypto exchange Binance has been in big trouble. On June 9, the Nigerian Securities and Exchange Commission (SEC) declared that Binance Nigeria Limited was an illegal activity, ordering the company to stop soliciting Nigerian investors of any kind. This comes just days after Binance was sued by the US Securities and Exchange Commission (SEC).
Binance is a popular cryptocurrency exchange in Nigeria, one of the leading crypto hubs in the region and Africa’s most populous country. According to a study by Chainalysis, the Middle East and North Africa region is leading the way in global crypto use, with cryptocurrencies receiving $566 billion between July 2021 and June. in 2022, an increase of 48% over the previous year.
The fact that the Nigerian Securities and Exchange Commission (SEC) declared Binance Nigeria Limited to be an illegal activity has created a wave of trouble for the exchange. This raises concerns and uncertainties in the crypto market in Nigeria and may affect investor confidence.