- Binance says its detained executive Tigran Gambaryan must be released before it registers in Nigeria
- Tigran Gambaryan and Binance are facing charges bordering on money laundering, currency manipulation and tax evasion
- Nigeria’s SEC has granted licenses to two crypto exchanges
The world’s largest crypto exchange, Binance, has set conditions Nigeria’s government must meet before it will consider registering with the country’s Securities and Exchange Commission (SEC).
Recall that the SEC recently set a framework programme to register Virtual Assets Service Providers (VASPs), including crypto exchanges, under its Accelerated Regulatory Incubation Programme (ARIP). The framework resulted in the granting of licenses to two crypto exchanges, Quidax and Busha, in late August this year, and the SEC says many have lined up to be registered. It also clarified that the licenses would be issued only to crypto platforms that meet all its set-out conditions.
In reaction to the conditions the SEC set, one of which is the opening of an office in Nigeria, Binance has said it will explore the possibility of meeting them and getting registered in Nigeria only when the Nigerian government meets its (Binance) own conditions.
Binance’s conditions to register in Nigeria
The crypto exchange, in a statement quoted by Niarametreic, said the conditions are:
The release of imprisoned executive, Tigran Gambaryan
Binance, in the statement, said one of the major conditions is the release of its executive, Tigran Gambaryan, who has been detained in Nigeria for more than six months. Gambaryan is being prosecuted for money laundering alongside Binance Holdings Limited. Nigeria’s premier tax collection agency, the Federal Inland Revenue Service (FIRS) authorities, dropped a tax evasion charge against Gambaryan earlier on June 14, leaving other charges bordering on money laundering.
Before considering joining ARIP and registering in Nigeria, Binance says Gambaryan must be freed from detention.
Agreement on settlement with the Nigerian Government
The second condition set out by Binnace is the settlement of its case with the Nigerian government. One of the critical issues the Nigerian government has raised is that the exchange has many active users in the country and is profiting from the country without paying taxes. Also, the country, in its suit against the exchange at the Abuja High Court, alleges that Binance was used in money laundering and foreign exchange manipulations. Binance denies all the allegations.
These legal issues must be fixed before the exchange considers registering in the country, it said.
“We are pleased that Nigeria is making progress in the development of its digital assets regime. We hope that someday soon, once Tigran has been freed and our issues are settled, we may seek registration,” a Binance spokesperson said.
US state blocks Nigerian’s crypto scam, fines him $50,000
Meanwhile, TheRadar earlier reported that The United States state of Kansas has blocked an attempt by a Nigerian cryptocurrency scammer, Bimbo Toyin Akinyemi, to defraud one of its residents of their cryptocurrency assets.
According to the state’s statement, “State of Kansas, U.S., Thwarts Attempt by Nigerian Crypto Scammer to Defraud Resident, Attracting Over $50,000 in Civil Penalties,” Akinyemi promised the unsuspecting victim a substantial return on cryptocurrency investment.
