Binance operations, other factors putting pressure on Naira –ABCON

The Association of Bureaux De Change Operators of Nigeria (ABCON) says Binance operations in the country are one of the major factors putting pressure on the Naira, and therefore should be banned.

President of ABCON, Alhaji Aminu Gwadebe who gave the advice said that Binance trading is becoming the anchorage of the Investor and Exporters window and the parallel market, noted that the exchange is the most liquid market with 1.2 million transactions per second.

He said, “If you know about Binance, you will know that Binance trading is becoming the anchorage of both the investors and exporters window and the parallel market, which is unfortunate.

“So, we have to do something that can stop Binance. It’s a competition; we need to ban Binance and the only way to do so   is if you have liquidity.

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“As I speak, Binance is the most liquid market; they do 1.2 million transactions per second. So it’s a very liquid market but that is not a scary situation, we can break it through our local content and peculiarities.”

The ABCON president noted that optimism was giving way to pessimism in the present foreign exchange market situation.

Gwadabe said that when pessimism overrode the psychology of the market, it would lead to a loss of confidence by citizens, saying that was key in every currency of every nation.

He said, “So we are seeing a scenario where optimism is giving way to pessimism; investors are not coming, Nigerians don’t have confidence in the market and we have to look for external finances that are coming in as a quick fix.

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“There is a lot of pressure on the naira, from foreign exchange hoarding by the banks and oil companies.

”Is it Nigerians that want to pay school fees, round-tripping, speculations, among others. All these galvanised to put pressure on the naira.

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“Spike and volatility did not start now, it’s something the present government inherited and has gone a long way in checkmating illegal behaviours around foreign exchange market and that is the objective of the unification.’’

Binance is a global online exchange where users can trade cryptocurrencies on a daily basis. It supports hundreds of the most commonly traded cryptocurrencies.