OKX Exchange Leaves Nigerian Market Due to Regulatory Crash

Cryptocurrency exchange OKX has announced that it will be leaving Nigeria on July 17, 2024. The exchange cited changes in local regulations as the main reason for the decision.

OKX has set August 16, 2024 as the deadline by which Nigerian users must cease their activities on the platform. After that, users will only be able to withdraw funds or close their positions.

OKX Email Notification For Nigerian Users | Image Source: King.Sol

The move follows a series of regulatory crackdowns on cryptocurrency exchanges by Nigerian authorities. Earlier this year, OKX suspended trading on Niara over regulatory concerns. The Nigerian government’s scrutiny increased after Binance, another major exchange, was accused of currency manipulation and tax evasion around the same time.

The pressure increased further when Nigerian authorities blocked access to several exchanges, prompting Binance to halt Naira services. The Economic and Financial Crimes Commission (EFCC) also requested user information from Binance.

However, the situation worsened after Nigerian authorities detained two Binance executives, Nadeem Anjarwalla and Tigran Gambaryan, in February 2024. Gambaryan’s case gained international attention, especially after his wife approached him for medical care.

The events have drawn the attention of U.S. lawmakers, with Representative Rich McCormick introducing a bill suggesting that Gambaryan’s detention could be treated as a hostage situation if not resolved quickly.

As these events unfold, Nigeria is reconsidering its blockchain policy, hinting at a possible shift in its approach to digital assets. The country is exploring the possibility of creating its own blockchain, called “Nigerium,” that would adhere to strict local laws and regulations.