Peer-to-peer exchange platform, Binance has implemented measures to cap the selling price of cryptocurrency stablecoin Tether (USDT) on its platform for Nigerian users.
In a recent blog post on Wednesday, Binance clarified its stance, emphasizing that its peer-to-peer (P2P) platform operates as a marketplace driven by market dynamics rather than serving as a pricing determinant for currencies in Nigeria…….CONTINUE READING>>>>>>
It said, “Binance provides a P2P marketplace, not as a price discovery platform. To be clear: it is market-driven and is not intended to be a proxy for currency pricing in Nigeria.
“To protect users, and to prevent any abuse, our system automatically pauses in the event of a period of significant currency movement.
“Late last night, we observed a temporary suppression of prices that briefly reached our system limit. We quickly made the necessary adjustments to allow trading to continue.”
“Continuous market surveillance ensures the prompt removal of abnormal prices, supported by a fixed security deposit,” it added.
Binance further revealed that it would continue to work with regulatory authorities, saying, “It is important to note that foreign exchange rates are influenced by various complex factors, which Binance does not influence on.
“However, we continue to actively engage with regulators, policymakers and other relevant stakeholders to foster an open transparent dialogue about managing the evolving landscape of cryptocurrency and financial markets.
“We remain dedicated to providing market-driven, fraud-free, and manipulation-free products for users. We take our responsibility to protect users and their confidential data very seriously.”
The platform highlighted its commitment to protecting users and preventing abuse, noting that it automatically pauses trading during periods of significant currency movement to safeguard users’ interests. Addressing concerns over recent fluctuations, Binance swiftly adjusted its system settings to facilitate seamless trading.
With a strong emphasis on user protection, Binance outlined stringent measures in place, including real-time monitoring, immediate removal of non-compliant advertisements, and permanent expulsion of bad actors from utilizing its P2P product. The platform assured users of continuous market surveillance to promptly address abnormal price fluctuations, supported by a fixed security deposit mechanism.
Also, Binance expressed its ongoing collaboration with regulatory authorities, underscoring the complex nature of foreign exchange rates, which the platform does not influence. It emphasized the importance of transparent dialogue with regulators, policymakers, and stakeholders to navigate the evolving landscape of cryptocurrency and financial markets.
Responding to recent criticism from Presidential aide Bayo Onanuga, Binance reaffirmed its commitment to providing market-driven, fraud-free, and manipulation-free products while prioritizing user protection and data confidentiality. Onanuga accused Binance of setting exchange rates for Nigeria, calling for regulatory action against cryptocurrency platforms influencing the value of the naira.
In light of recent efforts by the Central Bank of Nigeria to curb forex speculation and stabilize the Nigerian currency, Binance’s collaboration with regulatory authorities signals a proactive approach to fostering a transparent and compliant cryptocurrency ecosystem.
It declared that it had stringent measures in place to protect users in the market, including real-time monitoring, immediate removal of non-compliant advertisements, and permanent removal of bad actors from using its P2P product.
Presidential aide, Bayo Onanuga, had lashed out at Binance on Wednesday, saying, “It was blatantly setting exchange rate for Nigeria, hijacking CBN role.
“Binance, facing regulatory showdown in many countries, and causing disruptions in the currency market, should not be allowed to dictate the value of the naira, not on its crypto exchange platform. Other crypto platforms such as Kucoin and Bybit should be banned from operating in our cyberspace. FX platform Aboki should be re-banned.
“The EFCC and the CBN should move against these platforms trying to manipulate our national currency to Ground Zero. Crypto should be banned in our country or else this bleeding of our currency will continue unabated.”
The Central Bank of Nigeria has been making concerted efforts in recent times to tackle forex speculation and its effects on the Nigerian currency.….CONTINUE READING>>>>>>
