Nigerian officials have escalated their actions against the global cryptocurrency exchange Binance. The latest move involves a demand for information on the exchange’s top 100 Nigerian customers, including six months of their transaction histories.
This request follows closely on the heels of the detention of two high-ranking Binance executives, Nadeem Anjarwalla and Tigran Gambaryan, who are integral to the company’s operations within Africa. Nigerian authorities have not charged the executives but have confiscated their communication devices and travel documents.
Regulatory Crackdown Intensifies
The backdrop to these events is a broader crackdown by the Nigerian government on cryptocurrency exchanges, aimed at stabilizing the local currency, the naira, and curbing speculative trading that may affect its value. The government had previously directed internet and telecom providers to block access to major crypto platforms, including Binance, Coinbase, and Kraken, to mitigate the naira’s depreciation. In a direct response, Binance discontinued naira trading on its platform.
Adding to the controversy, Nigeria has reportedly slapped Binance with a hefty $10 billion fine. The fine is allegedly for manipulating foreign exchange rates related to the naira, further tightening the screws on the crypto exchange’s operations within the country. Moreover, Nigeria’s national security adviser’s office is pushing for Binance to settle any unresolved tax liabilities, indicating a comprehensive approach to regulating the exchange’s activities in Nigeria.