OKX, a prominent cryptocurrency exchange, has announced its decision to cease operations in Nigeria due to recent changes in local laws and regulations. This move comes as part of OKX’s response to regulatory pressures in the region.
In an email sent to Nigerian clients on July 17, OKX inform users about its decision to halt services in Nigeria. The exchange specified August 16, 2024, as the deadline for users to access the platform’s features. Following this date, Nigerian customers will only be able to use the platform for withdrawing funds or closing out their existing positions.
OKX Facing Regulatory Challenges
OKX’s decision follows a series of regulatory challenges in Nigeria’s cryptocurrency sector. Earlier in 2024, the crypto exchange suspended Naira withdrawals citing regulatory concerns.
The Nigerian government’s scrutiny intensified after allegations against Binance, accusing the exchange of manipulating the country’s fiat currency, as well as involvement in money laundering and tax evasion schemes.
The Nigerian government’s actions have also impacted other major cryptocurrency exchanges operating in the country. Binance, for instance, responded by discontinuing Naira services and providing users with a brief window to withdraw funds or convert them into dollar-denominated stablecoins.
Government Oversight
The Economic and Financial Crimes Commission (EFCC) of Nigeria has been actively involved in overseeing cryptocurrency activities. Recently, the EFCC requested Binance to disclose user information for all individuals engaging in trading activities on the platform.
