The largest crypto exchange by trading volume, Binance, is under fire from its users in Nigeria over the “unreasonable” closure of their accounts amidst other inappropriate activities carried out by the platform.
Nigerians lash out at Binance
According to a trending Twitter Nigeria hashtag, #BinanceStopScamming, which has generated over 20k tweets within the last 24 hours, several users have alleged that Binance closed their accounts or froze their crypto holdings without offering any explanation for their actions.
Binance is one of the most used exchanges in the country due to its peer-to-peer (P2P) feature, allowing crypto traders to bypass the government’s hardline stance towards the industry.
One user, Ama Judy, wrote that the exchange had seized her crypto holdings for ten months. She stated that her attempts at reaching out to the firm’s customer service unit had not gotten any positive response.
It’s been 10 months now that Binance held my hard earned crypto, I have reached out to customer care severally, till now I have not been given any tangible reason for this act @binance @BinanceAfrica @cz_binance @BinanceHelpDesk #BinanceStopScamming #BinanceStealingCrypto
— Ama Judy (@AmaJudy_) January 25, 2022
When she was contacted for further information, she revealed that the exchange first blocked her ability to withdraw her crypto assets in March 2021 because of “risk control.” Fast forward to January this year, the exchange disabled her account because she violated their terms and conditions.
In her words:
“I found out they had disabled my account and the reason given was I violated their terms and conditions by having more than one account; this is a big lie because I do not have another Binance account apart from one, which is the one I am having an issue with.”
Other users also complained about the quality of responses the customer service of the exchange gave them.
Are you still using binance? Many people coin have been locked for years, months and days now without any reason and to make the matter worst some of the account have been closed STOP USING BINANCE FOR UR OWN Interests.. #binancestopscamming
— Bu_kng (@FX_bitcoin4) January 26, 2022
Binance terms and conditions under spotlight
A look at a number of the responses given by the customer service agent of the exchange would reveal that they were quoting a part of Binance terms and conditions, which gave them the right to freeze users’ accounts without their consent or notice.
The said terms and conditions in screenshots seen read in part, “Binance and Binance Chain community reserves the right to refuse service of the Site, or to bar transactions from or to, or terminate any relationship with, any user for any reason (or for no reason) at any time.”
Binance Terms and Conditions. The first sentence contains a clause, and that’s insane. #BinanceStopScamming pic.twitter.com/StReqKDEwg
— ®Plug (@pureviberplug) January 26, 2022
This clause has generated criticism on Twitter as some users have labeled it “crazy.”
Binance’s official site shows that the exchange says it could suspend users’ accounts if it suspects that any account is in violation of its terms, privacy policy, and any applicable laws and regulations.
Binance reacts
In response to the wave of allegations, the company released a statement calling for calm, and that it was working on the issues.
Binance also asked users who believe their accounts have been wrongly suspended to fill out a form where they could properly investigate the matter.
(1/4) If you’re a Nigerian #Binance user and you believe your account is wrongly suspended, please fill in this form and we will investigate.
Open this thread for an explanation of what’s happening👇 pic.twitter.com/1M1D3ojdOu
— Binance Africa (@BinanceAfrica) January 26, 2022
Additionally, the exchange said it “proactively restrict accounts to protect users’ funds. Other times, we have to restrict accounts at the request of law enforcement. But never will we restrict accounts without good reason.”
To further address the issues, it has set up an AMA session slated for 11 AM today.
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