The Nigerian government is intensifying its scrutiny of Binance, the world's leading cryptocurrency exchange, by demanding detailed information on the platform's top 100 users in Nigeria.
According to a recent Financial Times report, Nigerian authorities are not only seeking data on Binance's most prominent local users but also their transaction histories over the past six months.
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Nigeria's national security adviser's office addressed concerns over the exchange's influence on the Nigerian naira and potential tax liabilities. Binance, among other crypto platforms, has allegedly played a role in destabilizing the naira, prompting discussions about potentially banning such platforms.
Presidential adviser Bayo Onanuga accused Binance of significantly harming the Nigerian economy and mentioned the possibility of imposing a hefty $10 billion fine on the exchange.
Binance has sought to engage in dialogue with Nigerian officials but has refrained from commenting publicly on the allegations. Despite the ongoing legal challenges, Binance maintains that it has not exited the Nigerian market, having only suspended transactions involving the Nigerian naira.
The situation escalated when Nigerian prosecutors detained two of Binance's senior executives, Tigran Gambaryan and Nadeem Anjarwalla, who remain in custody despite Binance ceasing all naira transactions and peer-to-peer naira exchanges in response to the crackdown.
As the situation unfolds, the outcome of these investigations and the future of Binance's operations in Nigeria remain uncertain. Both Binance and Nigerian authorities have yet to provide further details on resolving these complex issues.
