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CBN orders banks to unfreeze accounts of crypto, fintech companies

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CBN orders banks to unfreeze accounts of crypto, fintech companies

The Central Bank of Nigeria (CBN) has ordered banks to unfreeze the accounts of foreign exchange investment, cryptocurrency and Bureau De Change companies.

In a circular seen on Wednesday, but dated July 25, 2023, the CBN directed banks to lift the post-no-debit restriction placed on accounts of a popular crypto exchange, Yellow Card Financial and 439 other individuals and companies.

Also listed are Rise Vest Technologies Limited, Chaka Technologies Limited, Bamboo Systems Technology Limited, as well as Trove Technologies Limited.

Recall that in August 2021, CBN, under the suspended governor, Godwin Emefiele, obtained a Federal High Court order to freeze accounts of the fintech firms for 180 days to investigate alleged serious foreign exchange infractions by the companies.

READ ALSO:SERAP sues CBN over directive to banks on customers’ social media handles

“the investigation being carried out concerns what has been discovered to be serious infractions by the defendants/respondents in connection with some foreign exchange transactions and non-documentation by the defendants/respondents in violation of the extant laws and regulations, particularly the Foreign Exchange (Monitoring and Miscellaneous Provisions) Act and the Central Bank of Nigeria foreign exchange manual,” CBN said at the time.

In an update in the circular to deposit money banks, the CBN, without giving reasons, ordered that the financial institution should vacate the Post-No-Debit restriction placed on their accounts.

“You are hereby directed to vacate the Post-No-Debit restriction placed on the accounts of the under-listed bank customers at our instance. You are also required to inform the concerned customers of the vacation accordingly,” the circular reads.

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