📰 Table Of Contents
Nigerian Government Imposes $10 Billion Fine on Binance
The Nigerian government has imposed a staggering $10 billion fine on Binance as part of a crackdown on the platform in an effort to stabilize the nation’s local currency.
Bayo Onanuga Reveals the Fine
Bayo Onanuga, the special adviser on information and strategy to President Bola Tinubu, revealed the fine in an interview with the BBC, according to a report by Premium Times.
Nigeria’s ONSA Confirms Investigation into Binance
The Nigerian government’s move comes after the Office of the National Security Adviser (ONSA) confirmed that it is investigating the operations of Binance and other cryptocurrency platforms. The ONSA stated that it is coordinating an interagency investigation into Binance’s activities.
Binance Executives Detained
Earlier this week, the Nigerian government detained two executives of Binance who had flown into the country to negotiate with authorities amid the crackdown. However, the meetings reached an impasse as Binance officials declined to meet some of the government’s demands.
Nigerian Government’s Demands
The Nigerian authorities demanded that Binance provide data on transactions involving the Nigerian Naira on its platform over the past seven years. They also requested the removal of certain data relating to Nigeria from the platform.
Binance Cooperates With Nigerian Government
Onanuga claimed that Binance was cooperating with the Nigerian government by providing information and had already suspended naira-related transactions on its platform. Last week, the exchange also introduced a price cap for Tether (USDT) tokens on its peer-to-peer (P2P) platform in order to comply with local regulatory requirements.
Government’s Actions Against Binance
The Nigerian government’s actions against Binance and other crypto firms stem from concerns over continuous manipulation of the forex market and illicit movement of funds. Authorities believe that these activities have contributed to the weakening of the naira.
SEC Declaration and Legal Issues
In September 2023, Nigeria’s Securities and Exchange Commission (SEC) declared Binance Nigeria Limited illegal, stating that the platform was neither registered nor regulated by the commission. Binance previously pleaded guilty to criminal money laundering charges brought by the U.S. Department of Justice, agreeing to pay $4.3 billion to settle the case.
Ian is a cryptocurrency enthusiast blending humor with professionalism. With an engineering background and a storyteller's heart, he simplifies the blockchain world with sharp analysis and a touch of wit. At Cryptowire, he brings his unique perspective to make digital financial innovation accessible to all.
