How deposits & withdrawals now work

On the 5th of February 2021 the Central Bank of Nigeria circulated a letter to all Deposit Money Banks (DMBs), Non-Bank Financial Institutions (NBFs), and Other Financial Institutions (OFIs) in Nigeria. The letter, in summary, prohibited these institutions from working with cryptocurrency exchanges.

What does this mean for BuyCoins?

We no longer have any accounts or integrations with any bank, payment processor, wallet etc. As such, we can no longer directly accept deposits or process withdrawals in Nigeria.

Introducing P2P (peer-to-peer) deposits & withdrawals

We make this work by matching user deposits to user withdrawal requests. Here’s a simple example to elucidate:

1. User A wants to deposit N5000.
2. User B wants to withdraw N5000.
3. We match these two requests.
4. The depositor (User A) is directed to make a transfer to User B using a payment method of their choice.
5. Upon confirmation of receipt of payment, we debit the withdrawer’s (User B) BuyCoins NGNT balance and credit the depositor.

That’s all there is to it!

You can read more about how to actually do this from our help docs.

Furthermore, we’re rolling out this P2P deposit/withdrawal flow to users in batches and you’ll get an email notification when turned on for you.

Lastly, it is important to note the following:

• We do not accept or disburse any Naira payments.
• We are not at all affiliated with any of the payment methods users may choose to send & receive these P2P transfers. In accordance with the CBN circular, we no longer have any accounts or integrations with any bank, payment processor or wallet.