Through a statement published in the Vanguard, Yellow Card has announced that it will be resuming Naira deposits and withdrawals in Nigeria. The move comes almost a year after the cryptocurrency exchange suspended deposits and withdrawals using the Naira following a directive by the Central Bank of Nigeria (CBN) to financial institutions to exclude crypto entities from banking systems.
Yellow Card’s resumption of Naira transactions comes a few months after the CBN launched its digital currency the eNaira.
In the statement, Yellow Card’s director of services Oparinde Babatunde suggested that the resumption of Naira services is attributed to CBN’s altered stance on digital currencies. He said:
“The tide has changed and we are now seeing a growing interest from the CBN in them creating their own digital currency. Around October last year, they announced the release of the e-naira which is a digital form of the country’s currency and draws its value from the physical naira. In the coming months, we hope the CBN will reconsider their stance on cryptocurrency.”
Yellow Card crypto exchange
Yellow card is one of the largest cryptocurrency exchanges based in Africa and the announcement makes it the largest African cryptocurrency exchange to publicly announce reestablishing Naira deposits and withdrawals.
Yellow Card was not the only exchange affected by CBN’s directive about a year ago. Other crypto exchanges including foreign exchanges had also been forced to stop Naira deposits and withdrawals.
Luno Global, a smaller Nigerian-based crypto exchange, was one of the other exchanges that had also halted all Naira transactions although it was among the first to reinstate Naira deposits and withdrawals.
Yellow Card is also keen on enhancing the safety of its users.
In the statement announcing the resumption of Naira transactions, Babatunde was also quoted explaining:
“We also have a strong focus on usability, trust, and safety, having implemented Smile Identity to ensure the tier 1 traders are only able to submit documents once and they are scanned with an international db.”