‘Binance’s exit will affect Internet service providers’ revenue’

The exit of Binance from Nigeria will have huge effect on the revenue of Internet service providers in the country, an IT expert, Professor Haruna Chiroma, has said. 

Chiroma, a lecturer at Hafr Al-Batin University, Saudi Arabia, said the crackdown on Binance by the Federal Government would make Internet service providers witness low traffic as demand for large volume of data would reduce as a result of the crackdown. 

The Saudi based IT expert in an interview with our reporter via phone also added that the impact on the Binance crackdown would be more on the economy than the IT infrastructure.

“From the perspective of the IT, the Binance is crypto platform build on the blockchain technologies, thus, crackdown on  the Binance can reduce the growth of blockchain technology in Nigeria. Internet service providers networks can witness low traffic as demand for large volume of data will reduce as a result of the crackdown”, he said. 

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According to Chiroma, the crackdown cannot be effective as it will only affect the physical offices in Nigeria. 

He said: “The major transactions and other activities related to the crypto is in the cyberspace. Therefore, the user/customer only need to change location from Nigeria through private network on the public network such as the VPN to continue with the transactions in the cyberspace. For now no systematic approach to completely stop crypto, the best other countries do is to stop access to such platforms from their cyberspace.”

But he said the best Nigeria could do is to sponsor a high impact research on the best framework to control the crypto transactions within legal framework with monitoring  mechanism. 

This, he said, can strike a balance between the economy and government regulations.