NDIC, which is the Nigeria Deposit Insurance Corporation has just placed an explicit warning to Nigerians to steer off the popular and the fast rising bitcoin trading and its relations as it is not yet authorized in the country by the Central Bank of Nigeria and isn’t backed up by any law in the Nigeria’s constitution.

The Insurance Corporation also made further revelations stating how digital currencies are unregulated electronic forms of monetary value that can literally act as our conventional currencies in making transactions and payments; A digital currency has no physical form and it is not issued or controlled by any central authority and is thus exempted from government support.

Digital currencies are not created, issued or guaranteed by any Central Bank. Digital Currencies are also referred to as Virtual or Crypto currencies, NDIC added.

NDIC went further to pick point these facts behind the popular digital currency. According to the list,

1. Neither currencies nor coins offered by any central bank like the Central Bank of Nigeria (CBN) or a Central Bank of any other country with authority to issue such currency.
2. Not backed by any physical commodity, such as gold.
3. Not deposits or instruments authorized by the CBN.
4. Not insured by the NDIC.

Risk Involve Trading in Digital Currencies;

Consumers are not protected when using digital currencies for payments: Digital currency ‘units or accounts’ are not recognized by the CBN and are not insured by the NDIC unlike bank accounts. There is no protection, refund rights or redress for users of digital currencies.

Consumers can lose all their money due to Loss or Theft: Digital currencies are virtual money, stored in electronic medium called e-wallets and are vulnerable to losses due to loss of password, hacking, virus/malware attack etc. The loss of the wallet could result in the permanent loss of the digital currencies held in them.

High price changes that could lead to zero value of the currency quickly: The inherent instability in the rates because digital currencies are not issued or backed by any government, with no investor protection and are not protected by deposit insurance. This exposes the users to potential complete loss of value.

Absence of Authorized Exchange Platforms: Digital currencies are traded on exchanges established in various jurisdictions with unclear legal status. Consequently, the users of these platforms are exposed to financial, operational and legal risks.

Misuse for criminal activities: It has being widely reported that digital currencies are used in illicit activities in several jurisdictions, including unintentional breaches of anti-money laundering and combating the financing of terrorism (AML/CFT) laws.

Negative Opinion of Digital Currencies by the world’s central banker: The head of the Bank for International Settlements labelled Bitcoin as “a combination of a bubble, a Ponzi scheme” and, due to the energy consumption required for mining it, an “environmental disaster”

Negative Opinion of Digital Currencies by the head of the World Bank: Jim Yong Kim, World Bank Group President compared crypto-currencies to “Ponzi schemes. According to him “In terms of using Bitcoin or some of the crypto-currencies, we are also looking at it, but I’m told the vast majority of crypto-currencies are basically Ponzi schemes.”

List of Countries that Banned Trading in Digital Currencies

1. China’s Central Bank barred financial institutions from taking part in digital currency as well as exchange trading of Bitcoin. (Read More)

2. The European Banking Authority banned financial institutions from buying, selling or holding digital currencies. (Read More)

3. The central banks of India and Mexico have issued a warning on the use of digital currencies.

4. The central bank of Russia are totally opposed to private money, no matter if it is in physical or virtual form.

5. Bangladesh, Nepal, Ecuador, Bolivia and Iceland and Morocco have all banned Bitcoin in their territories.

6. South Korea, a global center for crypto-currency trading, said it would ban anonymous trading of virtual currencies. (Read More)

My big question is "Do Digital Currencies Pose a Threat to Sovereign Currencies?" Air your views!

News Source: https://techsphere.com.ng/ndic-digital-currency-is-not-legal-in-nigeria/

techbloga:
NDIC, which is the Nigeria Deposit Insurance Corporation has just placed an explicit warning to Nigerians to steer off the popular and the fast rising bitcoin trading and its relations as it is not yet authorized in the country by the Central Bank of Nigeria and isn’t backed up by any law in the Nigeria’s constitution.

The Insurance Corporation also made further revelations stating how digital currencies are unregulated electronic forms of monetary value that can literally act as our conventional currencies in making transactions and payments; A digital currency has no physical form and it is not issued or controlled by any central authority and is thus exempted from government support.

Digital currencies are not created, issued or guaranteed by any Central Bank. Digital Currencies are also referred to as Virtual or Crypto currencies, NDIC added.

NDIC went further to pick point these facts behind the popular digital currency. According to the list,

1. Neither currencies nor coins offered by any central bank like the Central Bank of Nigeria (CBN) or a Central Bank of any other country with authority to issue such currency.
2. Not backed by any physical commodity, such as gold.
3. Not deposits or instruments authorized by the CBN.
4. Not insured by the NDIC.

Risk Involve Trading in Digital Currencies;

Consumers are not protected when using digital currencies for payments: Digital currency ‘units or accounts’ are not recognized by the CBN and are not insured by the NDIC unlike bank accounts. There is no protection, refund rights or redress for users of digital currencies.

Consumers can lose all their money due to Loss or Theft: Digital currencies are virtual money, stored in electronic medium called e-wallets and are vulnerable to losses due to loss of password, hacking, virus/malware attack etc. The loss of the wallet could result in the permanent loss of the digital currencies held in them.

High price changes that could lead to zero value of the currency quickly: The inherent instability in the rates because digital currencies are not issued or backed by any government, with no investor protection and are not protected by deposit insurance. This exposes the users to potential complete loss of value.

Absence of Authorized Exchange Platforms: Digital currencies are traded on exchanges established in various jurisdictions with unclear legal status. Consequently, the users of these platforms are exposed to financial, operational and legal risks.

Misuse for criminal activities: It has being widely reported that digital currencies are used in illicit activities in several jurisdictions, including unintentional breaches of anti-money laundering and combating the financing of terrorism (AML/CFT) laws.

Negative Opinion of Digital Currencies by the world’s central banker: The head of the Bank for International Settlements labelled Bitcoin as “a combination of a bubble, a Ponzi scheme” and, due to the energy consumption required for mining it, an “environmental disaster”

Negative Opinion of Digital Currencies by the head of the World Bank: Jim Yong Kim, World Bank Group President compared crypto-currencies to “Ponzi schemes. According to him “In terms of using Bitcoin or some of the crypto-currencies, we are also looking at it, but I’m told the vast majority of crypto-currencies are basically Ponzi schemes.”

List of Countries that Banned Trading in Digital Currencies

1. China’s Central Bank barred financial institutions from taking part in digital currency as well as exchange trading of Bitcoin. (Read More)

2. The European Banking Authority banned financial institutions from buying, selling or holding digital currencies. (Read More)

3. The central banks of India and Mexico have issued a warning on the use of digital currencies.

4. The central bank of Russia are totally opposed to private money, no matter if it is in physical or virtual form.

5. Bangladesh, Nepal, Ecuador, Bolivia and Iceland and Morocco have all banned Bitcoin in their territories.

6. South Korea, a global center for crypto-currency trading, said it would ban anonymous trading of virtual currencies. (Read More)

My big question is "Do Digital Currencies Pose a Threat to Sovereign Currencies?" Air your views!

News Source: https://techsphere.com.ng/ndic-digital-currency-is-not-legal-in-nigeria/

IamJ take time to read this one...

that was how mavrodi was able to rip Nigeria a new hole ... Haha crypto currency nah big scope

Choi My 5.365 bitcoin dun become useless for my hand...please buy your bitcoin @ #2000 per bitcoin[ :-

World leaders now suddenly realize digital currency can't be stopped, how the hell are you going to stop miners or the blockchain? Anyone trading digital currencies understands the risks and gains associated so thanks again Cbn for reminding us.

Modified : Please those mentioning MMM, what is the connection with MMM and Bitcoin? Oh, you think because MMM operated with Bitcoin then Bitcoin is a Ponzi scheme? If that's the case then Naira is a Ponzi scheme too. You think mining Bitcoin is beans? Lol, Go and ask how much 1 antminer S9 cost, add the cost for an efficient cooling system and the power required to run it 24/7, then calculate how long it will take to break even don't forget considering the raise in difficulty level then you will understand why Bitcoin has so much value. If you don't understand how the blockchain technology works, save your energy and exit the thread don't show everyone how stupid you are.

All these our Digital Leaders With Analog Thinking sef

Instead of studying the odds of new things, they rather give a red alert.

Okay Na

Ok o

Lol

After some guys don hammer on top cryptocurrency Matter?!

But nairabet is legal abi. If i trade, come and arrest me

ZarahBuhari:
All these our Digital Leaders With Analog Thinking sef

DullardBuhari:

Where are all these Buhari this, Buhari that all coming from?

Chai! Buhari na Wah!

H

na people Business day wan use play so o

Have made millions from crypto ...accept now or get left behind

Na wah,... Kukuma kill us

Abeg how do I stop this headache?
I think I worried so much and read beautiful nonsense in nairaland alot

okay




Meanwhile guy's check out my profile for your extender products and other adult fantasy toys

Nigerians are stubborn. They won't listen. That is how we were warned about MMM, and we didn't listen.


Folks, go and google Liberty Reserve .

What about the one they gave BamBam of BBNaija so that one follow dey unauthorized

chp shiit

Neither is it illegal

Ndi ara

PFFFT

How much ??

Fools

Bitcoin isn't the problem, those operating ponzi scheme using bitcoin are the one with the issue....

QueenSuccubus:



IamJ take time to read this one...

you are mad, so you had to quote the whole post

It's not useful in Nigeria anyways.

DullardBuhari:


Choi My 5.365 bitcoin dun become useless for my hand...please buy your bitcoin @ #2000 per bitcoin[ :-

Son of Lai Mohammed

We will buy it at 1M per btc instead of your 2,000 Naira.