NewStats: 3,264,350 , 8,183,438 topics. Date: Tuesday, 10 June 2025 at 05:26 PM 452h3z

CBN bars crypto bank operators from cash withdrawal

Cash withdrawals will not be possible from s opened for virtual and digital assets transactions, the Central of Nigeria has disclosed.

Withdrawals from these s will only be possible by transfer or through a manager’s cheque, the apex bank explained. It revealed this in a new ‘Guidelines on Operations of Bank s for Virtual Assets Service Providers.’

According to the bank, an opened under its new guidelines will only be used for transactions on virtual/digital assets and not for any other purpose.

The guideline read in part, “No cash withdrawal shall be allowed from the . No third-party cheque shall be cleared from the . Except for settlement of a virtual/digital assets transaction which shall be done through a transfer to another designated , the withdrawal shall be only through a managers’ cheque or transfer to an .”

In a December circular titled, ‘Circular to all banks and other Financial Institutions guidelines on operations of bank s for Virtual Assets Service Providers,’ with reference number FPR/DIR/PUB/CIR/002/003, and signed by the Director, Financial Policy and Regulation Department, Haruna Mustafa, the banking regulator announced a policy change on crypto assets and directed banks to begin to aid crypto transactions.

In its new policy direction, the bank stated that it was more open to the idea of regulation rather than its earlier position of the restriction of crypto assets from the formal banking sector.

The guideline, published alongside the circular, is meant to serve as the framework for the reintroduction of crypto into the formal banking sector.


Commenting on the guideline, the CBN said, “The Guidelines shall apply to banks and other financial institutions under the regulatory purview of the CBN.”

Part of the objectives read, “Provide minimum standards and requirements for banking business relationships and opening for Virtual Assets Service Providers in Nigeria.”

Based on the guidelines, financial institutions are now allowed to undertake the following activities in their operations of s for Virtual Assets Service Providers including, opening designated s, the provision designated settlement s and settlement services, acting as channels for FX flows and trade, and any other activity that may be permitted by the CBN from time to time.

Commenting on how virtual asset providers can open s, the apex bank noted, “From the commencement of these Regulations, financial institutions shall not open or permit the operation of any by any person or entity to conduct the business of virtual/digital assets unless that is designated for that purpose and opened in line with the requirement of these Guidelines.

“The designated shall only be opened with the approval of senior management of the FI.”

The new CBN guideline further provides an extensive list of other requirements aimed at protecting the financial system and customers from uncertainty and fraud risks.

Hammering on the need for financial institutions to adhere to its guidelines, the apex bank highlighted that erring banks could get their licence suspended.

The document read in parts, “Notwithstanding the powers of the CBN under the BOFIA 2020 and in addition to the use of remedial measures in these Guidelines, the CBN may take any or all of the following sanctions against a Fl, its board of directors, officers or staff for failure to comply with any of the requirements of these Guidelines:

“Prohibition from opening any further designated ; Monetary penalty not below the sum of 2,000,00O.00 against the FIs, of its board, senior management, and any staff, for any infraction. Suspension of the operating licence of a Fl.”


When the CBN announced its policy shift on crypto, the Lead Partner and Head of Blockchain and Virtual Assets Practice at Infusion Lawyers, Senator Ihenyen, told The PUNCH, “Thankfully, our regulators will now work together to ensure consumer protection and investor safety.

“Nigeria can no longer afford to keep pushing digital assets underground, for obvious economic and security reasons, especially when you are number on in crypto adoption in Africa and a leading market in the globe.”

https://punchng.com/cbn-bars-crypto-bank--operators-from-cash-withdrawal/

“Prohibition from opening any further designated ; Monetary penalty not below the sum of 2,000,00O.00 against the FIs, of its board, senior management, and any staff, for any infraction. Suspension of the operating licence of a Fl.”


Any bank official that has ears should hear o. This is a policy directly targeted at those who think only of easy money and how to perpetrate money laundering. May the bank officials not let greed and indiscipline ruin their banks for their shareholders.

May God bless Nigeria for ever! Check my signature for free stuffs!

Those who know what money laundering has done to our country will applaud this move, Kudos CBN

Money laundering and our Nigeria politicians and other private sectors be like 5 and 6

MrProlific95:
Those who know what money laundering has done to our country will applaud this move, Kudos CBN

MrProlific95:
Those who know what money laundering has done to our country will applaud this move, Kudos CBN

Keep quiet please

P2p still makes more sense to me than this.

Cardoso is clutching at too many policies these days like a drowning man with Nigerians yet to see the benefits.

He has virtually reversed most of the policies of the erstwhile cbn governor in order to stabilize the naira yet it keeps getting a beating when lined-up against the dollar.

Way to go. Adequate security supposed to be utilized against money laundering

If this will help to stabilize Naira then it's a welcome development

Good move

MrProlific95:
Those who know what money laundering has done to our country will applaud this move, Kudos CBN

You're right

matify83:
Cardoso is clutching at too many policies these days like a drowning man with Nigerians yet to see the benefits.

He has virtually reversed most of the policies of the erstwhile cbn governor in order to stabilize the naira yet it keeps getting a beating when lined-up against the dollar.

His "Try your luck policies approach" is the reason naira keeps nose-diving .

Man is clueless

This is one of the best policies enacted by Mr Cardoso.
I posted a thread on this topic last year but the mods didn't deem it fit to bring it to the frontpage.
I think someone should explain this policy to my good friend @freestuff,Mr Cardoso has in one policy swoop cancelled the draconian crypto policy of Mr Emi werey.
In simple English,cos I can see the big grammar in the story is confusing some people,Mr Cardoso has allowed banks to authorize some form of Crypto currency transaction.
For those who rush to conclusions about crypto currency been bad,u wouldn't know how bad the draconian policies of Mr Emi werey affected a lot of Nigerians.
I had a very very terrible experience when my money was blocked after a brother did a transfer to a crypto seller and used Bitcoin in the Narration.
I had to painfully forfeit a large % of my funds so I could be paid by the seller, I also know sellers whose were freezed cos people were putting Crypto as narrative during transfers,that's why a particular exchange warns people not to put crypto in the narrative when selling or buying their crypto.
For the crypto exchanges that give out banks s when you open a crypto on their website,I'm sure they are the ones that the CBN instructed not to allow withdrawals.
I some years ago a particular crypto exchange will give you a bank that starts with W on opening an ,those s are just digital and you can't withdraw cash from them,I'm sure those s are what Mr Cardoso instructed shouldn't allow for cash withdrawals.
Seriously Government mustn't ignore crypto transaction in Nigeria,you will be amazed at the huge number of transaction that go on everyday in some crypto exchanges in Nigeria.
I expect Asiwaju to instruct the Minster of Finance,the Minister of Digital Economy,the CBN,The FIRS and some other relevant government agencies come together and formulate a policy to make crypto transaction more transparent,traceable and taxable in Nigeria.
They should also work with the National Assembly to enact laws on crypto transaction or Asiwaju can go ahead and issue Executive orders if the National Assembly is stalling,if Bet companies can pay taxes I wonder why crypto transaction shouldn't attract a % as taxes.
I'm very sure That's another avenue to raise a lot of money for the country
God bless Nigeria....

matify83:
Cardoso is clutching at too many policies these days like a drowning man with Nigerians yet to see the benefits.

He has virtually reversed most of the policies of the erstwhile cbn governor in order to stabilize the naira yet it keeps getting a beating when lined-up against the dollar.

The patch patch CV CBN governor is a drowning man

The reason he is busy reversing most of the policies of the erstwhile CBN governor is simply because he got no new ideas on how to stabilize the Naira which has been on a free fall since he assumed office

Blocking all the avenue the youths created ...

I will take CBN serious when the dollar to naira exchange is $1 to #200

Blackfire:
Blocking all the avenue the youths created ...

nope. Blocking all avenues for money laundering

IYOO...

Let this measure not be against youths buh political shoplifters.

ONYE ANWULU!!!

Hmmmm!

This is not a bad move, but still not the answer. With all Eme-werey "gra gra" huge amounts of money moved in and out of crypto daily....if you know, you know. Lol. In the initial stage, Eme-werey was able to sieze a huge amount of money. Go ask what he did with them... that guy is a real werey.

Any move we make must make the naira strong...and we must endeavour to make sure we continue with the infrastructural development we have started. It should expand to other states. Lagos should be the NY of Africa. We need to work towards preventing it from sinking, remove anything from 10-storey buildings in some areas and put 20 to 50-storey buildings. And many more...

Back to this CBN policy...I believe this is what any reasonable person would do at this time, but it may not solve the problem entirely. It still depends on curbing corruption. This is the KEY. If we don't curb it, it will bury our economy. There is no policy corruption cannot bury no matter how good it is.

In my opinion, the real (I am repeating here cos I have written about it many times) problem we have is tribalism, and corruption is embedded in it. We always cover our tribesmen cos we think other tribes did it and nothing was done. So, if our tribe man does it, he should go unpunished too. Lol. And our electoral decisions are based on who is from our tribe and not the best man for the position. In fact, no good person will want to go into Nigerian politics. For where? Like telling me to go and mix up with those crooks...never.

So, the best option is to split. Nigeria will eventually sink. If BRICS can overlook Nigeria and pick South Africa, something is wrong with Nigeria. We should not keep forcing a marriage that has refused to work. I am sure that the 5 regions (or central region can divide also and go with who they want to make four nations) will do as separate nations.

These people be blowing hot and cold at the same time.
Lifting a ban on crypto and not allowing cash withdrawals?

Where’s the cash by the way?


😔

Confusions

Still a good one for crypto but the $500k being requested for deposits from any crypto exchanges should be look upon if not only foreign investors will rule our domestic crypto market

Bobloco:


The patch patch CV CBN governor is a drowning man

The reason he is busy reversing most of the policies of the erstwhile CBN governor is simply because he got no new ideas on how to stabilize the Naira which has been on a free fall since he assumed office

matify83:
Cardoso is clutching at too many policies these days like a drowning man with Nigerians yet to see the benefits.

He has virtually reversed most of the policies of the erstwhile cbn governor in order to stabilize the naira yet it keeps getting a beating when lined-up against the dollar.

PrinceOfLagos:

His "Try your luck policies approach" is the reason naira keeps nose-diving .

Man is clueless

See these advisers claiming knowledge.
A high school economics student should know that there is no policy, fix or plan that can save a debtor
other than to pay their debt but these ones think a magical solution exist.

Quick education for you guys.
Naira is falling because the demand for dollar is much higher than supply.
No additional dollar earnings, no fix for the increasing exchange rate.
It is that simple.

Can someone please explain to us what this means.
How does it affect money laundering?

Does that mean they can transfer to another and then withdraw?


People that have bank managers on their dialed list

With this p2p can never die.

All these stress coz I wan use CBN's method to do crypto? Abeg make person stick to p2p jarey

Government want to swap in again this new year. Abi ati mad ni

Fapemz:


Does that mean they can transfer to another and then withdraw?


People that have bank managers on their dialed list

Same question I wanted to ask o... Does it mean they can transfer to another but can't withdraw cash from their ?

If they can transfer to another , then how does it stop money laundering?

I wish someone can explain that part well

🤭

flip-flop policy. Crypto customers don enter one chance