EFCC Freezes Bank Accounts of Over 1,100 Crypto Traders in Nigeria

The Economic and Financial Crimes Commission (EFCC) in Nigeria has taken a drastic step by freezing the bank accounts of over 1,100 crypto traders. The move comes as the country’s fiat currency, the naira, continues to weaken in the foreign exchange market.

According to court documents seen by DL News, the affected traders are being accused of various financial crimes, including foreign exchange racketeering, currency manipulation, money laundering, and terrorism financing. The EFCC has stated that it is conducting an investigation into the matter and has 90 days to reach a conclusion.

This action has sent shockwaves through the Nigerian crypto community, with traders on peer-to-peer platforms fearing the worst. One trader, who wished to remain anonymous, confirmed receiving a notice from their bank informing them of the account freeze.

The EFCC’s crackdown on crypto traders is not new, as earlier this year, the commission charged Binance and two of its executives with money laundering, alleging that the exchange was responsible for the naira’s decline. Now, the EFCC is expanding its investigation to other crypto exchanges and traders.

Despite previous bans on crypto trading in Nigeria, the central bank recently lifted restrictions on commercial banks servicing exchanges and traders. However, the recent account freezes by the EFCC have raised concerns among the crypto community.

As the investigation unfolds, Nigerian crypto traders are left in limbo, unsure of when or if they will be able to access their funds. The EFCC’s actions have once again highlighted the regulatory challenges facing the crypto industry in Nigeria.

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