Cryptocurrency: IMF backs CBN

The International Monetary Fund (IMF) has backed Nigeria’s decision to ban cryptocurrencies in the country.

The world body said that some crypto currencies are being used for money laundering and drug trafficking.

The IMF Resident Representative for Nigeria, Mr. Ari Aisen, revealed this during a virtual  briefing on the recently published 2020 Article IV IMF Staff Report for Nigeria Feb. 17.

According to Aisen, many central banks around the world have taken similar policy decisions as the CBN.

“The issue with some of the crypto currencies is that perhaps some care should be taken about their activities. The use of crypto currencies is a concern.

“That is why some central banks, not only in Nigeria have these concerns about what kind of the activities these crypto currencies are put and how best to monitor those activities.

“Some of them may be illegal activities and may be related to money laundering, even drugs or other illegal things.  It is natural that the monetary authorities will be concerned about how best to supervise and increase their oversight regarding the use of crypto currencies.”

Nigerians have been agitated since the apex bank made the decision.

Some, including politicians,  allege it is a sign of backwardness