On July 17, cryptocurrency exchange OKX announced its decision to halt services for all Nigerian customers, citing “recent changes in local laws and regulations.” In an email to Nigerian clients, OKX revealed that users have until August 16 to access the platform’s features. After this deadline, Nigerian customers will only be able to withdraw funds or close positions.
This move comes after a series of regulatory actions by the Nigerian government targeting cryptocurrency exchanges. In May 2024, OKX suspended Naira withdrawals due to regulatory concerns following accusations against Binance of manipulating the country’s fiat currency, money laundering, and tax evasion. In response, the Nigerian government blocked access to major centralized exchanges. Binance subsequently ceased Naira services in Nigeria, giving users a brief period to withdraw funds or convert to dollar-denominated stablecoins.
The Nigerian Economic and Financial Crimes Commission (EFCC) demanded that Binance disclose user information for all individuals who traded on the platform. This led to the detention of Binance executives Nadeem Anjarwalla and Tigran Gambaryan in February 2024. Gambaryan’s wife has since called for medical attention for her husband, whose health has deteriorated, drawing attention from U.S. lawmakers due to humanitarian concerns.
Recently, Nigerian court officials issued an arrest warrant for Dr. Abraham Ehizojie, a prison doctor, for failing to appear in court and provide a medical report on Gambaryan’s condition. This development has the potential to strain relations between the Nigerian and U.S. governments.
On July 10, U.S. lawmaker Rich McCormick introduced a resolution to the House Committee on Foreign Affairs, recommending that Gambaryan’s detainment be treated as a hostage situation if not resolved by mid-July.
The departure of OKX from Nigeria highlights the increasing regulatory hurdles faced by cryptocurrency exchanges in the country. This situation underscores the complex relationship between local regulations and the operations of global cryptocurrency platforms. As regulatory scrutiny intensifies, the future of cryptocurrency trading in Nigeria remains in flux.
