Binance vs Nigeria: Timeline of Events
Nigerian authorities continued their case against Tigran Gambarian on July 5. The executive of Binance has been arrested by the Economic and Financial Crimes Commission (EFCC) since February.
Initially sparked by concerns over the handling of the currency, the conflict has escalated into a high-profile legal battle between Binance – the world's largest cryptocurrency exchange – and Nigerian authorities.
Problems begin
In the year Binance responded by limiting USDT purchases to naira, disabling the “buy” option and setting a 1,802 naira to US dollar peg, citing fraud prevention.
As confirmed by Binance, Nigerian authorities subsequently banned major crypto exchanges, including Binance, due to fears of money laundering and money laundering.
This led to the arrest of Binance officials Nadeem Anjarwala and Gambarian in Nigeria's capital, Abuja, amid ongoing investigations by the Office of the National Security Adviser.
On March 5, Binance suspended all Nigerian naira services, halting deposits and withdrawals and canceling naira trading pairs. Users are given a three-day window to withdraw or convert their Naira balances to USDT.
Related: Crypto exchanges to meet Nigerian SEC chief for regulatory talks
On March 18, the EFCC obtained a court order for Binance to disclose information on Nigerian users related to money laundering and terrorist financing. The inter-agency committee also said that forex manipulation contributed to the collapse of the Nara.
Escape and legal developments
Anjarwala escaped from jail on March 19 using his Kenyan passport during Ramadan prayers, after the Federal Inland Revenue Service (FIRS) filed criminal charges against Binance for tax non-compliance.
On April 8, the EFCC added charges against Gambarian for money laundering, currency speculation and tax evasion totaling $34 million. Gambarian's plea not to represent Binyan in court was rejected, resulting in his transfer to Kuje Correctional Centre.
Binance CEO Richard Teng expressed regret on May 7 about Gambarian's extended prison term, despite Binance's cooperation and demand for $150 million in crypto payments by Nigerian authorities, which Binance interpreted as a bribe.
The spokesman for the Nigerian Ministry of Information, Rabiu Ibrahim, dismissed the claim of bribery as false and a diversion.
Related: Binance exec's legal battle escalates amid US-Nigeria war
On June 4, twelve US lawmakers urged President Joe Biden to confirm Gambian's release, citing baseless allegations aimed at forcing Binance. Nigeria's Minister of Information defended the proceedings, citing Binance's high revenue from its Nigerian operations.
Industrial concerns
On June 14, FIRS dropped its case against The Gambian and Anjarwala, focusing only on Binance through its local representative and exempting The Gambian from future court proceedings.
The Blockchain Industry Coordinating Committee of Nigeria (BICCoN) has warned of the negative impact of the legal dispute on the Nigerian blockchain sector and called for a fair trial to restore investor confidence.
On July 2, Judge Emeka Nwete ordered the release of the Gambian's medical records due to health problems at Kuje Correctional Center. Gambarian, a US citizen, has been ill for a long time but has received limited medical attention.
The court has completed the first examination of witnesses in AFC's case against Binance and Gammbaryan and adjourned it until July 5.
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