This announcement follows a directive from the Central Bank of Nigeria (CBN) last week, which prohibited major fintech firms like Kuda, Opay, PalmPay, and Moniepoint from accepting new customers. The CBN's action is part of an ongoing audit of the Know-Your-Customer process within these fintechs, amidst growing concerns about potential involvement in money laundering and terrorism financing activities.

Prior to the CBN's directive, the Economic and Financial Crimes Commission (EFCC) had obtained a court order to freeze over 1,146 bank accounts belonging to individuals and entities allegedly engaged in illegal foreign exchange transactions.

Opay, in a notice issued to its customers, emphasized its strict adherence to the CBN's stance on cryptocurrency trading. The fintech company warned that accounts found engaging in such activities would be promptly closed, with customer information shared with regulatory authorities.

Similarly, Paga, a veteran player in the Nigerian fintech space, urged its account holders to refrain from using their platform for cryptocurrency or virtual currency transactions. Accounts found in violation of this regulation would face suspension, the company cautioned.

PalmPay echoed these sentiments, advising against the use of its platform for cryptocurrency transactions. Failure to comply with these regulations could lead to the suspension of user accounts, the fintech firm emphasized, reaffirming its commitment to ensuring regulatory compliance and platform integrity.

It will be recalled that the Buhari led adminstration in 2021, banned crypto trading in Nigeria.