KurePay, according to the report, is dissatisfied with “the increasingly hostile regulatory environment” for crypto service providers. The decision was expedited because of two Central Bank of Nigeria (CBN) orders in November, telling banks to close accounts tied to specific users linked to crypto.
The end of KurePay’s services will come in the first quarter of 2022.
The company plans to restrict its business to over-the-counter (OTC) and consulting services for Nigerians. New users have been asked not to use the platform for now.
KurePay CEO Abikure Wisdom Tega said CBN’s crypto crackdown is a “disservice” to the country. He said KurePay plans to roll out a U.S.-based platform that will let it “innovate in a more business-friendly environment.”
Nigeria’s central bank in February said that banks had to close accounts associated with crypto, though it clarified that this was not new, and had originated in 2017.
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Crypto crackdowns have been occurring more often, particularly as national banks have begun pondering ways to make central bank digital currencies (CBDC) and thus have looked to curb the less-regulated types of digital assets.
Recently, Swedish financial and environmental regulators have asked the EU to stop proof-of-work bitcoin mining because of its impact to the environment. Erik Thedéen, director general of the Financial Services Authority of Sweden, and Bjorn Risinger, director general of the Swedish Environmental Protection Agency, have said that they’re worried the country wouldn’t be able to meet climate obligations if crypto mining continues.
Read more: Sweden Calls on Europe to Pull the Plug on Bitcoin Mining
There has been an escalation of crypto mining in the country between April and August. The report says the electricity used could run 200,000 regular households.
The surge in crypto mining in various parts of the world comes after China banned the practice.
