Nigeria has intensified its efforts to regulate cryptocurrency activities within its borders, with recent reports indicating a focus on Binance, one of the world’s largest crypto platforms.
The Financial Times reported that Nigeria is actively seeking information from Binance concerning its top 100 users in the country and their transaction history over the past six months.
The concerns raised by Nigeria’s central bank revolve around potential tax evasion through unregistered crypto exchanges. The bank has also accused Binance of operating illegally and facilitating transactions totaling $26 billion. Meanwhile, Binance has been advised to address any outstanding tax liabilities.
Nigeria’s parliament recently threatened to issue arrest warrants for Binance executives, summoning CEO Richard Teng to provide explanations regarding allegations of involvement in money laundering and terror financing.
Just a few weeks ago, the Nigerian authority arrested two Binance executives shortly after they arrived in the country. They are currently detained at a government facility, their passports confiscated, and their movements restricted. One of them has been identified as a former US federal agent and American citizen.
In response to this heightened regulatory scrutiny and the contentious negotiation tactics employed by Nigeria, Binance decided to discontinue its naira (NGN) services last week.
This move by Nigeria marks a significant development in the ongoing negotiations between Binance and Africa’s leading crypto market.
