Cryptocurrency: CBN Fines Access Bank, Stambic IBTC, UBA ₦800m Over Violation

The Central Bank of Nigeria (CBN) has slammed Stanbic IBTC Bank, Access Bank Plc, and United Bank for Africa a fine of N800 million.

Naija News understands that the three commercial banks were sanctioned for allowing cryptocurrency transactions in the country.

The CBN had in a document issued last year, warned all commercial banks to cut off executing cryptocurrency transactions in Nigeria.

While others adhered to the warning, the three commercial banks were found guilty of violating the restriction.

According to Bloomberg, the apex bank had created a system to checkmate cryptocurrency transactions that commercial banks may have overlooked.

For infraction, Access Bank Plc was fined N500 million for failing to shut down customers’ crypto accounts.

UBA was fined N100 million for a customer’s digital-currency transactions.

CBN penalized Stanbic IBTC Bank, the local unit of Standard Bank Group Limited, N200 million for two accounts allegedly used for crypto transactions.

Meanwhile, the CBN has in another publication, warned Nigerians against patronizing unlicensed financial operators offering attractive return on investment.

The CBN stated this on Monday through it’s Financial Services Regulation Coordinating Committee (FSRCC).

The body maintained that recent activities of these financial institutions who are often found online with no physical offices has dealt a great blow to the public confidence and the Nigerian financial system.

According to the body: “The FSRCC in its continuing efforts to end the scourge of IFOs in Nigeria, hereby issues the following advisory

“The general public is advised to refrain from dealing with unlicensed or illegal financial operators, who lure and defraud unsuspecting members of the public by offering extra-ordinary returns on investments as bait.

“Members of the public are advised to visit the websites of the Central Bank of Nigeria (CBN), Securities and Exchange Commission (SEC) and other relevant member agencies of the FSRCC to verify the registration and license status of such companies and schemes before investing in them.

“You are also advised to report any individual or entities suspected to be involved in such nefarious activities to the law enforcement agencies.”

The body also assured the public that they would continue to carry out due diligence before registering or licensing any financial body.

“In addition, Agencies shall refer to relevant supervisory authorities for confirmation before finalising on any registration/licensing application,” the statement said.

This article was originally published on Nigeria News