Binance exchange over the weekend got the fury of some Nigerian users due to the restriction of their accounts.
The leading cryptocurrency exchange in the world, Binance, restricted the accounts of 281 Nigerian users which led to the #BinanceStopScamming on Twitter.
On Wednesday, January 19th, 2022, Nigerians stormed Twitter with the trending hashtag which generated over 25, 000 tweets. The trend also continued the next day with over 10,000 tweets on the app whose ban was recently lifted.
In this post, we’ll look at the reason for the restriction of accounts and other things to know.
What is Binance?
Binance is a cryptocurrency exchange which is the largest exchange in the world in terms of daily trading volume of crypto. The exchange was founded in 2017 and registered in the Cayman Island, Seychelles.
Binance was founded by developer, Changpeng Zhao. In 2018, the company started operations in Africa. It has since been one of the most popular crypto exchange platform and P2P trading platform in the continent.
Binance restriction of Nigerian users account
Things To Know About Binance Restriction of Nigeria Users Account
Changpeng Zhao, Binance CEO released statement in reaction to the tweets by the Nigerian community on the restriction of accounts. Here are things to know about the restriction-
1. 38% of the affected accounts were restricted at the request of international law enforcement.
2. The affected accounts were restricted to prevent fraud-related activities.
3. Nigeria and Africa at large makes up the largest part of Binance community. This is to show that crypto is booming in Nigeria and Africa.
4. Account restrictions are put in place by Binance to ensure that its community are protected and secured against fraudulent activities.
5. The protection mechanisms put in place include KYC, anti-money laundering measures as well as collaboration with law enforcement agencies.
6. Binance has resolved 79 cases out of the 281 accounts restricted. The company also stated that it is working on other accounts.
7. The company has recently been facing accusations of having weak-money laundering checks.
Also Read- Binance Vs. Coinbase- Which is Better?
