The Nigerian parliament is probing the government’s policy on cryptocurrency, after the exit of Binance, the world’s largest crypto exchange, from the Nigerian market. The government had banned banks from servicing crypto exchanges, blocked access to crypto websites, and detained two Binance executives, accusing them of illegal operations, money laundering, and tax evasion. The government claims that crypto is destabilizing the naira and facilitating illicit activities.

However, the parliament argues that the government is sending mixed signals and damaging the country’s reputation and innovation. The parliament cites the US Treasury’s report that crypto transactions are not the main source of money laundering, and the US court’s ruling that fined Binance but did not ban it. The parliament also questions the government’s claim that crypto is affecting the foreign exchange rate and the national bank’s functions.

The parliament urges the government to adopt a more balanced and constructive approach to regulating crypto, in line with global best practices and standards. The parliament also sets up a committee to investigate the current status of crypto and its implications for national security and legislation.