Binance Drops Nigerian Naira, Grayscale's Bitcoin ETF Loses $600M, Citron Eyes Shorting Coinbase
Summary:
Binance has removed the Nigerian naira from its peer-to-peer service, upsetting many Nigerian crypto traders. Meanwhile, Bitcoin saw a dip as Grayscale's Bitcoin ETF experienced an outflow of nearly $600 million. In other news, investment firm Citron plans to short Coinbase's stock following its recent technical difficulties. Despite these issues, Coinbase has thrived, becoming the world's fourth-largest publicly-traded exchange after the approval of several Bitcoin ETFs.
Nigerian crypto traders are dismayed as Binance removes the Nigerian naira from its peer-to-peer platform. As Bitcoin retracted somewhat from its recent surge, Grayscale shed close to $600 million from its Bitcoin ETF on the same day. Meanwhile, a notable Wall Street trader's investment company is aimed at shorting the shares of Coinbase.
Binance, the major player in cryptocurrency trading, has opted to scrub the Nigerian naira from its peer-to-peer service. This move comes in the wake of accusations by the governmental authorities that Binance has been instrumental in the currency's depreciation. Bayo Onanuga, a presidential adviser, voiced concerns over Binance's potential to wreak havoc on the Nigerian financial system, as it arbitrarily determines forex rates.
In Nigeria, the P2P service which enables users to trade directly without a middleman gained traction after the government clamped down on the burgeoning crypto sector under the leadership of former President Muhammadu Buhari.
In related news, Bitcoin witnessed a dip of over 3% from its highest point in the 24-hour trade cycle as Grayscale's spot Bitcoin ETF saw investors offload nearly $600m from the fund on February 29. This marks the second-largest net outflow in history.
Moreover, on February 29, Citron, an investment research entity led by a high-profile Wall Street short-seller, expressed its interest in shorting Coinbase's stock. This interest emerged following the technical issues experienced by the crypto exchange in the recent volatile Bitcoin price swings.
During Coinbase's temporary outage on February 28, users grappled with zero account balances and transaction errors with digital assets. Coinbase pacified its users by confirming that all balances were secure and the problems were resolved within a few hours.
Ever since the US Securities and Exchange Commission gave the green light to numerous Bitcoin ETFs in January, Coinbase has climbed up the ranks to become the world's fourth-largest publicly-traded exchange. As Bitcoin surpassed the $60,000 mark for the first time since over two years, there's been a dramatic hike in the appetite for digital assets this week.
This news piece doesn't include investment advice or suggestions. All investments and trades entail risks, and readers are advised to undertake thorough research before making decisions.
Reported by Geraint Price, Sam Bourgi, and Felix Ng.
Published At
3/1/2024 4:02:30 PM
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